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please answer all Common stock price Earnings per share2021 Dividends per share2021 Growth rate of sales Common stock outstanding2021 Operating costs/sales ratio2021 Total liabilities-to-assets ratio2021
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Common stock price Earnings per share2021 Dividends per share2021 Growth rate of sales Common stock outstanding2021 Operating costs/sales ratio2021 Total liabilities-to-assets ratio2021 Proportion of short-term interest-bearing debt2021 Tax rate Before-tax cost of debt a. Constructing the forecasted financial statements (Parts II., III., and IV.) Part II. Income Statements Sales Operating costs including depreciation Earnings before interest and taxes (EBIT) Interest Earnings before taxes (EBT) Taxes Net income (NI) Dividends Addition to retained earnings Part III. Balance Sheets Assets Cash Receivables Inventories Total current assets Fixed assets Total assets Liabilities and Equity Accounts payable Accrued liabilities Notes payable Total current liabilities Long-term debt $75.00 $2.40 $1.44 12% 100,000 91.5% 35% 40% 25% 13.50% 2021 $6,400,000.00 6,041,500.00 $358,500.00 38,500.00 $320,000.00 80,000.00 $240,000.00 2021 $320,000.00 640,000.00 1,280,000.00 $2,240,000.00 2,560,000.00 $4,800,000.00 $640,000.00 320,000.00 95,000.00 $1,055,000.00 100,000.00 2022 2022 640,000.00 Receivables Inventories 1,280,000.00 Total current assets $2,240,000.00 Fixed assets 2,560,000.00 Total assets $4,800,000.00 Liabilities and Equity Accounts payable $640,000.00 Accrued liabilities 320,000.00 Notes payable 95,000.00 Total current liabilities $1,055,000.00 Long-term debt 180,000.00 $1,235,000.00 Total liabilities Common stock Retained earnings 3,200,000.00 365,000.00 Total common equity $3,565,000.00 $4,800,000.00 Total liabilities and equity Part V. Notes on Calculations Total liabilities Less: Payables and accruals Interest-bearing debt Allocated to notes payable Allocated to long-term bonds Interest expense Target equity-to-assets ratio Required total equity Retained earnings Required common stock b. Calculating the growth rate in sales at which the additional financing requirements will be exactly zero Profit margin 3.75% Dividend payout ratio 60% Formulas Addition to retained earnings2021 Growth rate in sales A Common stock price Earnings per share2021 Dividends per share2021 Growth rate of sales Common stock outstanding2021 Operating costs/sales ratio2021 Total liabilities-to-assets ratio2021 Proportion of short-term interest-bearing debt2021 Tax rate Before-tax cost of debt a. Constructing the forecasted financial statements (Parts II., III., and IV.) Part II. Income Statements Sales Operating costs including depreciation Earnings before interest and taxes (EBIT) Interest Earnings before taxes (EBT) Taxes Net income (NI) Dividends Addition to retained earnings Part III. Balance Sheets Assets Cash Receivables Inventories Total current assets Fixed assets Total assets Liabilities and Equity Accounts payable Accrued liabilities Notes payable Total current liabilities Long-term debt $75.00 $2.40 $1.44 12% 100,000 91.5% 35% 40% 25% 13.50% 2021 $6,400,000.00 6,041,500.00 $358,500.00 38,500.00 $320,000.00 80,000.00 $240,000.00 2021 $320,000.00 640,000.00 1,280,000.00 $2,240,000.00 2,560,000.00 $4,800,000.00 $640,000.00 320,000.00 95,000.00 $1,055,000.00 100,000.00 2022 2022 640,000.00 Receivables Inventories 1,280,000.00 Total current assets $2,240,000.00 Fixed assets 2,560,000.00 Total assets $4,800,000.00 Liabilities and Equity Accounts payable $640,000.00 Accrued liabilities 320,000.00 Notes payable 95,000.00 Total current liabilities $1,055,000.00 Long-term debt 180,000.00 $1,235,000.00 Total liabilities Common stock Retained earnings 3,200,000.00 365,000.00 Total common equity $3,565,000.00 $4,800,000.00 Total liabilities and equity Part V. Notes on Calculations Total liabilities Less: Payables and accruals Interest-bearing debt Allocated to notes payable Allocated to long-term bonds Interest expense Target equity-to-assets ratio Required total equity Retained earnings Required common stock b. Calculating the growth rate in sales at which the additional financing requirements will be exactly zero Profit margin 3.75% Dividend payout ratio 60% Formulas Addition to retained earnings2021 Growth rate in sales A Step by Step Solution
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