Question
% increase due (In Millions of Dollars) 2015 2014 Changes to increase in capital Total change 73,785 72,618 1.61% 10.00% 11.61% I would like to
% increase due
(In Millions of Dollars) 2015 2014 Changes to increase in capital Total change
73,785 72,618 1.61% 10.00% 11.61%
I would like to know how they got 10% for an increase due to an increase in capital
At the most recent strategic planning meeting, the board of directors of your company has voted to issue additional stock to raise capital for major expansions for the company in the next five years. The board is considering $5 million. Take the most recent financial statements and prepare a set of projected financial statements based on the given assumptions. The CEO requests that you prepare a written report (including the financial statements) for her. A.Generate a projected income statement based on the given scenario. B. Analyze the impact on the income statement based on the given scenario. C. Generate a projected statement of retained earnings based on the given scenario. D. Analyze the impact on the statement of retained earnings based on the given scenario. E. Generate a projected balance sheet based on the given scenario. F. Analyze the impact on the balance sheet based on the given scenario. G. Generate a projected cash flow statement based on the given scenario. H. Analyze the impact on the cash flow statement based on the given scenario.
(In Millions of Dollars) 2016 2015 Sales 82349.25 73785 Cost of Sales 57925.78 51997 Gross Margin 24424.21 21788 Selling, General & Administration Overheads 16120.51 14665 Depreciation & Amortization 2521.61 2213 Gain on Sale 0.00 -620 EBIT 5807.01 5530 Net Interest Expense 478.44 607 EBT 5498.96 4923 Provision for Income taxes 2291.76 1602 Net Earnings from Continued Operations 3249.03 3321 Discontinued operations net of tax 0.00 42 Net Earnings/ (Loss) 3249.03 3363 Basic Earnings/ (Loss) per share Continuing Operations 7.56 5.29 Discontinued operations 0.00 0.07 Net Earnings/ (Loss) per share 7.56 5.36 Diluted Earnings/ (Loss) per share Continuing Operations 7.51 5.25 Discontinued Operations 0.00 0.07 Net Earnings/ (Loss) per share 7.51 5.32 Weighted average common shares outstanding Basic 656.57 627 Dilutive effect of share based award 5.01 5.2 Diluted 661.58 632.2
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