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Please write down the process step by step. The 2010 balance sheet and income statement for the Damon Company are shown below. Damon Company Balance
Please write down the process step by step.
The 2010 balance sheet and income statement for the Damon Company are shown below. Damon Company Balance Sheet as of 12/31/2010 (in 000 dollars) Cash $ 80 Accounts Payable $ 160 Accounts receivable 240 Accruals 40 Inventories 720 Notes payable 252 Fixed assets 3200 Long term debt 1244 Common stock 1605 Retained earnings 939 Total assets 4240 Total Liabilities & equity 4240 Damon Company Income statement for year 2010 (in 000 dollars) Sales $8000 Operating costs 7450 Interest 150 Taxes (40%) 160 Net income 240 Common stock price $ 16.96 Earning per share $ 1.60 Dividend per share $ 1.04 The firm operated at full capacity in 2010. It expects sales to increase by 20% during 2011 and expects 2011 dividends to increase to $1.10. Use the constant ratio method to determine how much outside financing is requires develop.ng the film's pro forma balance sheet and income statement, and use AFN as the balancing itemStep by Step Solution
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