Question
The 2020 balance sheet for People's Painters, Inc. is shown below: Assets Liabilities & Equity Current Assets 12,000 Current Liabilities 2,000 Net Fixed Assets 25,000
The 2020 balance sheet for People's Painters, Inc. is shown below:
Assets |
|
| Liabilities & Equity |
|
Current Assets | 12,000 |
| Current Liabilities | 2,000 |
Net Fixed Assets | 25,000 |
| Long-term Debt | 17,000 |
|
|
| Common Stock | 15,000 |
|
|
| Retained Earnings | 3,000 |
Total Assets | 37,000 |
| Total Liabilities & Equity | 37,000 |
Sales in 2020 were $36,000 and the net profit margin was 4%. Assuming that sales in 2021 will grow to $45,000, the net profit margin will remain constant, the firm will not need any additional fixed assets, and the dividend payout ratio is 30%, what is the AFN for 2021?
Group of answer choices
750
2,000
200
1,240
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