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Owen's Electronics has nine operating plants in seven southwestem states. Sales for last year were $100 million, and the balance sheet at year end
Owen's Electronics has nine operating plants in seven southwestem states. Sales for last year were $100 million, and the balance sheet at year end is similar in percentage of sales to that of previous years (and this will continue in the future). All assets including fixed assets) and current liabilities will vary directly with sales. The firm is working at full capacity Balance Sheet Assets Liabilities and Stockholders' faulty Cash Accounts receivable Accounts payable 22 27 Accrued wages Inventory 30 Accrued taves Current assets 5 66 Current liabilities Fled assets 47 Notes payable Common stock 17 22 Retained earnings Total assets $113 Total abilities and stockholders' equity 5115 Owen's Electronics has an aftertax profit margin of 7 percent and a dividend payout ratio of 20 percent If sales grow by 20 percent next year, determine how many dollars of new funds are needed to finance the growth (Do not round intermediate calculations. Enter your answer in dollers, not millions, (e.g. $1,234,567)) Answer is complete but not entirely correct. New funds
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