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The most recent financial statements for Nuesca Holidays Inc. follow Sales for 2018 are projected to grow by 25%. Interest expense will remain constant the
The most recent financial statements for Nuesca Holidays Inc. follow Sales for 2018 are projected to grow by 25%. Interest expense will remain constant the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, and accounts payable increase spontaneously with sales. The firm is operating at full capacity and no new debt or equity is issued Nuesca Holidays Inc. 2017 Statement of Comprehensive Income Sales Costs Other expenses Earnings before interest and taxes Interest paid Taxable income Taxes (30%) Net income Dividends $20,160 Addition to retained earnings 80,640 $754,000 589,000 10,000 $ 155,000 11,000 $144,000 43,200 $100,800 Assets Current assets Cash Accounts receivable Inventory Total Nuesca Holidays Inc. Statement of Financial Position as of December 31, 2017 Liabilities and Owners' Equity Current liabilities $ 26,400 Accounts payable 41,800 Notes payable 88,000 Total $156,200 Long-term debt Owners equity Common stock and paid-in surplus $430,000 Retained earnings $ 69,100 18,189 $ 87,209 $137,000 Fixed assets Net plant and equipment $123,000 239.000 Assets Current assets Cash Accounts receivable Inventory Total Nuesca Holidays Inc. Statement of Financial Position as of December 31, 2017 Liabilities and Owners' Equity Current liabilities $ 26,400 Accounts payable 41,800 Notes payable 88,000 Total $156,200 Long-term debt Owners' equity Common stock and paid-in surplus $430,000 Retained earnings $ 69,109 18,109 $ 87,200 $137,000 Fixed assets Net plant and equipment Total assets Total $123,000 239,000 $362,000 $586,200 $586,209 Total liabilities and owners' equity Complete the pro forma statement of comprehensive income below. (Input all amounts as positive values. Omit $ sign in your response.) Nuesca Holidays Inc Complete the pro forma statement of comprehensive income below. (Input all amounts as positive values. Omit $ response.) Nuesca Holidays Inc. Pro Forma Statement of Comprehensive Income 25 % Sales Growth $ Sales $ Costs Other expenses EBIT Interest Taxable income Taxes (30%) $ Net income $ $ Dividends Add. to RE Complete the pro forma statement of financial position below. Complete the pro forma statement of financial position below. Assets S Current assets Cash Accounts receivable Inventory Total $ Nuesca Holidays Inc. Pro Forma Statement of Financial Position Liabilities and Owners' Equity Current liabilities $ Accounts payable $ Notes payable $ Total $ Long-term debt Owners' equity Common stock and paid-in surplus $ Retained earnings Total $ $ $ Fixed assets Net plant and equipment $ $ Total assets $ Total liabilities and owners' equity $ Calculate the EFN for 25% growth rates. 25% $ EFN
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