Question
NEED ANSWER ASAP / ANSWER NEVER USED BEFORE a.) Daniel Sawyer, the CEO of the Sawyer Group, is initiating planning for the company's operations next
NEED ANSWER ASAP / ANSWER NEVER USED BEFORE
a.)
Daniel Sawyer, the CEO of the Sawyer Group, is initiating planning for the company's operations next year, and he wants you to forecast the firm's additional funds needed (AFN). The firm is operating at full capacity. Data for use in your forecast are shown below. Based on the AFN equation, what is the AFN for the coming year? Dollars are in millions.
Last year's sales = S0 | $350 | Last year's accounts payable | $40 |
Sales growth rate = g | 30% | Last year's notes payable | $50 |
Last year's total assets = A0* | $870 | Last year's accruals | $30 |
Last year's profit margin = PM | 5% | Target payout ratio | 60% |
Select the correct answer.
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b.) In your internship with Lewis, Lee, & Taylor Inc. you have been asked to forecast the firm's additional funds needed (AFN) for next year. The firm is operating at full capacity. Data for use in your forecast are shown below. Based on the AFN equation, what is the AFN for the coming year?
Select the correct answer.
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d.)
Last year Baron Enterprises had $400 million of sales, and it had $270 million of fixed assets that were used at 65% of capacity last year. In millions, by how much could Baron's sales increase before it is required to increase its fixed assets?
Select the correct answer.
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