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the shareholders want to purchase another business for $25 million. the company dose not want to use the cash they have in the business cash
the shareholders want to purchase another business for $25 million. the company dose not want to use the cash they have in the business cash account. provide a strategy on how the company can source the funds to purchase the $25 million business??
Below are the latest financial statements of ABC Company: ABC Company Income Statement ($ millions) Sales revenue $1,974 Cost of sales 1,117 Gross profit $ 857 Operating expenses 737 Operating profit $ 120 Interest expenses 39 Income tax expense 20 Net income $ 61 nt Paragraph Accessibility: Investigate Balance Sheet ($ millions) $ 18 154 267 $ 444 337 Current assets Cash Accounts receivable Inventory Total current assets Long-term assets Property, plant & equipment, net Other assets Total long-term assets Total assets Current liabilities Trade creditors Short-term bank loans Total current liabilities Long-term debt Total liabilities Common shares (31 million) Retained earnings Total equity Total liabilities & equity $ 143 100 $ 31 396 $ 439 781 $1,220 $ 243 550 $ 793 427 $1,220 Step by Step Solution
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