Question
Consider the following simplified financial statements for the Fire Corporation (assuming no income taxes): Income Statement Sales $33886 Costs $25958 Balance Sheet Assets $57666 Debt
Consider the following simplified financial statements for the Fire Corporation (assuming no income taxes):
Income Statement | |
Sales | $33886 |
Costs | $25958 |
Balance Sheet | |||
Assets | $57666 | Debt | $15444 |
|
| Equity | ? |
The company has predicted a sales increase of 7 percent. Assume Fire pays out half of net income in the form of a cash dividend. Costs and assets vary with sales, but debt and equity do not.
Determine the external financing needed. (Negative amount should be indicated by a minus sign.)
(Omit the "$" sign and commas in your response. Enter your answer rounded to 2 decimal places. For example, $1,200.456 should be entered as 1200.46.)
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