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Return to question 8 Cheryl Colby, CFO of Charming Florist Ltd., has created the firm's pro forma balance sheet for the next fiscal year. Sales
Return to question 8 Cheryl Colby, CFO of Charming Florist Ltd., has created the firm's pro forma balance sheet for the next fiscal year. Sales are projected to grow by 10 percent to $440 million. Current assets, fixed assets, and short-term debt are 15 percent, 75 percent, and 5 percent of sales, respectively. The company pays out 25 percent of its net income in dividends. The company currently has $123 million of long-term debt, and $51 million in common stock par value. The profit margin is 8 percent. 0.71 points a. Prepare the current balance sheet for the firm using the projected sales figure. (Accounts should be entered by order of liquidity. Do not round intermediate calculations and enter your answers in dollars, not millions of dollars, e.g. 1,234,567.) Answer is complete but not entirely correct. Sustainable growth rate 22.96 X %
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