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Q1 Q2 Q3 The most recent financial statements for Kerch, Incorporated, are shown here (assuming no income taxes): Income Statement Sales $ 4,700 Costs 3,470
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The most recent financial statements for Kerch, Incorporated, are shown here (assuming no income taxes): Income Statement Sales $ 4,700 Costs 3,470 Net $ 1,230 income Balance Sheet Assets $15,000 Debt $ 10,700 Equity 4,300 Total $15,000 Total $15,000 Assets and costs are proportional to sales. Debt and equity are not. No dividends are paid. Next year's sales are projected to be $5,965. What is the external financing needed? Ramble On Company wishes to maintain a growth rate of 10 percent a year, a debt- equity ratio of 0.51, and a dividend payout ratio of 66 percent. The ratio of total assets to sales is constant at 1.29. What profit margin must the firm achieve? Pinnacle Manufacturing, Incorporated, is currently operating at only 90 percent of fixed asset capacity. Current sales are $720,000. How fast can sales grow before any new fixed assets are needed? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Maximum sales growth %Step by Step Solution
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