Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Global Corp. expects sales to grow by 9% next year. Using the percent of sales method and the data provided in the given tables a.

Global Corp. expects sales to grow by 9% next year. Using the percent of sales method and the data provided in the given tables a. Costs b. Depreciation c. Net income d. Cash (Note: Interest expense will not change with a change in sales. Tax rate is 26%.) e. Accounts receivable f. Inventory g. Property, plant, and equipment h. Accounts payable forecast a. Costs The forecasted costs except depreciation will be $ 174.6 million. (Round to one decimal place, and enter all numbers as a positive.) b. Depreciation The forecasted depreciation will be $ million. (Round to one decimal place, and enter all numbers as a positive.) c. Net income The forecasted net income will be $ million. (Round to one decimal place.) d. Cash The forecasted cash will be $ million. (Round to one decimal place.) e. Accounts receivable The forecasted accounts receivable will be $million. (Round to one decimal place.) f Inventor Click on the icons located on the top-right corners of the data tables below to copy its contents into a spreadsheet. Income Statement ($ million) Balance Sheet ($ million) Net Sales 185.3 Assets Costs Except Depreciation -174.6 Cash 23.7 EBITDA 10.7 Accounts Receivable 17.9 Depreciation and Amortization -1.1 Inventories 15.8 EBIT 9.6 Total Current Assets 57.4 Interest Income (expense) -7.7 Net Property, Plant, and 112.8 Equipment Pre-tax Income 1.9 Total Assets 170.2 Taxes (26%) -0.5 Net Income 1.4 Liabilities and Equity Accounts Payable 35.6 Long-Term Debt 112.1 Total Liabilities 147.7 Total Stockholders' Equity 22.5 Total Liabilities and Equity 170.2

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

Financial Managerial Accounting

Authors: Belverd E. Needles

7th Edition

0618867465, 978-0618867462

More Books

Students also viewed these Accounting questions

Question

2. Discuss various aspects of the training design process.

Answered: 1 week ago