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Current financial information for Henri Corp. are presented below Income Statement Balance Sheet Sales $3,700 Current assets $3,500 Current liabilities $970 Costs 1,800 Fixed assets
Current financial information for Henri Corp. are presented below |
Income Statement | Balance Sheet | ||||
Sales | $3,700 | Current assets | $3,500 | Current liabilities | $970 |
Costs | 1,800 | Fixed assets | 5,800 | Long-term debt | 3,640 |
Taxable income | $1,900 | Equity | 4,690 | ||
Taxes (23%) | 437 | Total | $9,300 | Total | $9,300 |
Net income | $1,463 | ||||
Costs, current liabilities and assets are assumed to grow in proportion to sales. While long-term debt and equity are not. Assume the firm has a constant 50 percent dividend payout ratio. Analysts assume that next year's sales are projected to increase by exactly 25 percent. |
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