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Moxie, Incorporated, has annual sales of $564,000, current assets of $276,000, and net working capital of $192,000. Assume the firm is operating at full capacity
Moxie, Incorporated, has annual sales of $564,000, current assets of $276,000, and net working capital of $192,000. Assume the firm is operating at full capacity and that all costs, net working capital, and fixed assets vary directly with sales. The debt-equity ratio and the dividend payout ratio will be held constant. If sales are projected to increase by 6 percent next year, what is next years pro forma value for current liabilities? Multiple Choice $203,520 $89,040 $215,731 $36,085 $84,000
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