Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

c'l. Construct the rm's pro forma balance sheet for the next scal year. {Do not round intermediate calculations and enter your answers in dollars, not

image text in transcribedimage text in transcribed
c'l. Construct the rm's pro forma balance sheet for the next scal year. {Do not round intermediate calculations and enter your answers in dollars, not millions of dollars, rounded to the nearest whole dollar amount, e.g., 1,234,561i Balance Sheet Liabilities and equity.r s 62mm Accumulated retained earnings 1??! 812 Still = Total equity 241 312 Bill] Total assets 45 SUD UUD Total liabilities and equity 45 BUD UUD cZ Calculate the external funds needed- {Do not round intermediate calculations and enter your answer in dollars, not millions of dollars, rounded to the nearest Iwhole dollar amount, e.g., 1,234,567.} External nancing needed 3 40,6315)\" Dahlia Colby, CFO of Charming Florist Ltd., has created the firm's pro torma balance sheet for the next scal year. Sales are projected to grow by 12 percent to $490 million. Current assets, fixed assets, and short-term debt are 20 percent, 7'5 percent, and '10 percent of sales, respectively. Charming Florist pays out 25 percent of its net income in dividends. The company currently has $134 million of longterm debt and $62 million in common stock par value. The prot margin is 10 percent. a. Construct the current balance sheet for the rm using the projected sales gure. {Do not round intermediate calculations and enter your answers in dollars, not millions of dollars, rounded to the nearest whole dollar amount, e.g., 1,234,561! Balance Sheet Ttttal liabilities anti equity b. Based on Ms. Colhy's sales growth forecast, how much does Charming Florist need in external funds for the upcoming scal year'EI [Do not round intermediate calculations and enter your answer in dollars, not millions of dollars, rounded to the nearest whole dollar amount, e.g., 1,234,561] External nancing needed

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Cost Management

Authors: Don R Hansen, Maryanne M Mowen, Dan L Heitger

5th Edition

357141091, 978-0357141090

More Books

Students also viewed these Accounting questions