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Manson has developed a forecasting model to estimate is AFN for the upcoming year. All else being equal, which of the following factors is most

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Manson has developed a forecasting model to estimate is AFN for the upcoming year. All else being equal, which of the following factors is most likely to lead to increase of the additional funds needed (AFN)? A sharp increase in its forecasted sales. The company discovers that it has excess capacity in its fixed assets. The company reduces its dividend payout ratio. The company switches its materials purchases to a supplier offers a longer credit period inventory system and outsourcing production. o e. A switch to (with all other held equal). A switch to a just-in-time inventory system and outstanding production. Other things held constant, which of the following events is most likely to encourage a firm to increase the amount of debt in its capital structure? The corporate tax rate increases. The costs that would be incurred in the event of increase. Its sales become less stable over time. Management believes that the firm's stock has become overvalued. Its degree of operating leverage increases

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