Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

plz help Determine any how much cash flow will be needed it revenue grows by X8% Use the Sales Approach Method as we used in

plz help
image text in transcribed
image text in transcribed
Determine any how much cash flow will be needed it revenue grows by X8% Use the Sales Approach Method as we used in cost examples Growth Rate 18.00% 2002 Pro Fomra Income Statement Sales Less: costs EBT 2001 % $415.200 Sales ($285,970) Less: costs S129,230 EBT 545.231 Less taxes (40% of EBT) Net Income Less taxes (35% of EBT) Net Income Dividends (30%) Add. TO RE 584,000 $25,200 $58,800 Dividends Add. To RE Balance Sheet 96 2001 Current Assets 90 2002 Current Liabilities 2001 AP S115.2 NP $$1,200 Cash AXR 533.250 S101.580 Balance Sheet % 2002 Current Liabilities 2001 % 2002 Current Assets 2001 Cash A/R $33,250 $101,580 A/P N/P $115,882 $53,200 Inventory $107,580 $242,410 Total LT Debt $169,082 $208,530 Total Fixed Assets Net PP&E er $315,820 Owners' Equity Common Stock Retained Earnings Total $120,000 $60,618 $180,618 S $558,230 Total L & OE $558,230 Total Assets

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Principles of Finance

Authors: Scott Besley, Eugene F. Brigham

6th edition

9781305178045, 1285429648, 1305178041, 978-1285429649

More Books

Students also viewed these Finance questions

Question

What are the basic financial decisions ?

Answered: 1 week ago

Question

What is meant by 'Wealth Maximization ' ?

Answered: 1 week ago