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Green Moose Industries reported sales of $743,000 at the end of last year; but this year, sales are expected to grow by 10%. Green Moose

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Green Moose Industries reported sales of $743,000 at the end of last year; but this year, sales are expected to grow by 10%. Green Moose expects to maintain its current profit margin of 21% and dividend payout ratio of 20%. The firm's total assets equaled $475,000 and were operated at full capacity. Green Moose's balance sheet shows the following current llabilities: accounts payable of $65,000, notes payable of $40,000, and accrued liabilities of $75,000, Based on the AFN (Additional Funds Needed) equation, what is the firm's AFN for the coming year? $129,756 $108,996 $103,806 $124,567 A negatively-signed AFN value represents: A shortage of internally generated funds that must be raised outside the company to finance the company's forecasted future growth A point at which the funds generated within the firm equal the demands for funds to finance the firm's future expected sales requirements A surplus of internally generated funds that can be invested in physical or financial assets or paid out as additional dividends Because of its excess funds, Green Moose is thinking about raising its dividend payout ratio to satisfy shareholders. What percentage of its earnings can Green Moose pay to sharehoiders without needing to raise any external capital? (Hint: What can Green Moose increase its dividend payout ratio to before the AFN becomes positive? 64,4% 72.5% 75.5%

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