It is January 2nd and senior management of Chester meets to determine their investment plan for the year. They decide to fully fund a plant and equipment purchase by issuing 75,000 shares of stock plus a new bond issue. Assume the stock can be issued at yesterdays stock price ($32.27) and leverage changes to 2.7. Which of the following statements are true? Select all that apply.

Select: 3

Equity will be $81,681,357

Chester will issue stock totaling $2,420,250

Total liabilities will be $117,926,095

Working capital will remain the same at $15,833,068

The total investment for Chester will be $202,027,703

Total Assets will rise to $214,004,990

2)

The Chester's workforce complement will grow by 20% (rounded to the nearest person) next year. Ignoring downsizing from automating, what would their total recruiting cost be? Assume Chester spends the same amount extra above the $1,000 recruiting base as they did last year.

Select: 1

	$435,000
	$522,000
	$2,605,000
	$3,126,000