QUESTION 1

1. A company has $100,000 of assets. They earned $20,000 on sales of $200,000 and paid $14,000 of dividends. They will have an Internal Growth Rate of
2. 3.09%6%6.38%7.53%

1 points

QUESTION 2

1. A company has $200,000 of assets. They earned $10,000 on sales of $100,000 and paid $2,000 of dividends. They will have an Internal Growth Rate of
2. 4%4.17%5.26%11.1%

1 points

QUESTION 3

1. You have assets equal to 100% of sales, 10% profit margin, sales of $400,000., and 80% dividend payout ratio. Accounts payable are 30% of sales. If sales increase by 10%, according to the percentage of sales model you will have Additional Funds Needed of
2. $43,200$40,000$19,200-$8,800

1 points

QUESTION 4

1. You plan to increase assets by $65,000, increase accounts payable by $4,000 and retain $10,000 of earnings. You will have Additional Funds Needed of
2. $71,000$69,000$59,000$51,000

1 points

QUESTION 5

1. The cash budget would show a balance at the end of the first month of
2. Revenue: $100,000 per month
3. Collection Schedule: in 1st month, each in second and third months
4. Beginning cash balance $55,000
6. Expenses (paid in month incurred) as follows.
7. Salaries: $60,000 per month
8. Supplies: $14,000 per month
9. Rent: $10,000 per month
10. Utilities: $6,000 per month
11. $65,000$15,000$10,000-$35,000

1 points

QUESTION 6

1. Revenue: $100,000 per month
2. Collection Schedule: in 1st month, each in second and third months
3. Beginning cash balance $55,000
4. Expenses as follows.
5. Salaries: $60,000 per month
6. Supplies: $14,000 per month
7. Rent: $10,000 per month
8. Utilities: $6,000 per month
9. Under the accrual method, the operating budget would show a profit (loss) during the first month of
10. $45,000$15,000$10,000-$40,000.

1 points

QUESTION 7

1. According to the percentage of sales model
2. equity increases proportionately with sales.
3. accounts receivable increase proportionately with sales.
4. profit margin increases proportionately with sales.
5. total debt increases proportionately with sales.

1 points

QUESTION 8

Additional Funds Needed increases as

1. the dividend payout ratio decreases.
2. assets as a percent of sales increases.
3. accounts payable as a percent of sales increases.
4. profit margin increases.