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Please explain this to me in detail.. Below are the simplified cument and projected financial statements for Decker Enterprises. All of Deckers assets are operating
Please explain this to me in detail..
Below are the simplified cument and projected financial statements for Decker Enterprises. All of Deckers assets are operating assets. All ofDeckers cument liabilities are operating liabilities Income statement Cument Projected Sales na 1.500 Costs 1.050 450 Profit before tax Taxes Net income 315 Dividends 95 CHAPTER 9 CORPORATE VALUATION AND FINANCIAL PLANNING Balance sheets Cument Projected cument Projected 115 Cument liabilities Cument assets 100 70 81 1,200 1,440 Long-term debt 300 360 Net fixed assets 500 500 Common stock Retained eamings 430 650 44. Based on the projections, Decker will have a. a financing surplus ofS36 b. a financing deficit of $36 c. a financing surplus of S255 d. a financing deficit of S255 e. zero financing surplus or deficitStep by Step Solution
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