Question
The most recent financial statements for Assouad, Inc., are shown here: Income Statement Balance Sheet Sales $ 10,700 Current assets $ 5,100 Current liabilities $
The most recent financial statements for Assouad, Inc., are shown here: Income Statement Balance Sheet Sales $ 10,700 Current assets $ 5,100 Current liabilities $ 3,150 Costs 7,600 Fixed assets 10,000 Long-term debt 4,680 Taxable income $ 3,100 Equity 7,270 Taxes (24%) 744 Total $ 15,100 Total $ 15,100 Net income $ 2,356 Assets, costs, and current liabilities are proportional to sales. Long-term debt and equity are not. The company maintains a constant 44 percent dividend payout ratio. As with every other firm in its industry, next years sales are projected to increase by exactly 15 percent.
What is the external financing needed? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
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