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Help Please! Good Day Corporation is a firm with good growth opportunities. Good Day's sales last year were $14M (M = million). They are expected
Help Please!
Good Day Corporation is a firm with good growth opportunities. Good Day's sales last year were $14M (M = million). They are expected to grow 20% in the coming year. Good Day requires additional assets (receivables, inventories, and fixed assets) equal to 75% of the increase in sales. How much additional assets does Good Day require to support its sales growth?
$2.8M
$10.5M
$2.1M
$14M
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