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You are the most creatlve analyst for Green Rabbit Transportation Inc., and your admirers want to see you work your analytical magic once more. Which

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You are the most creatlve analyst for Green Rabbit Transportation Inc., and your admirers want to see you work your analytical magic once more. Which of the following are assumptions made by the initial income statement forecast? check auf that apply. The facility is not currently operating at full capacity The assigned depreciation method has changed. No addtonat external financing wilt be required. The facility is currenty operating at full copacity. Adduonal external finencing will be required by Gieen Rabbit Transportabon fnc. The forecasted increase in net sales is 50%4 Which of the following could be a direct cause of financing feedback? 1. Issuing additienal common stock: 11. Purchasing additional buildings with internally generated funds Additional external financing will be required by Green Rabbit Transportation Inc. The forecasted increase in net sales is 50%. Which of the following could be a direct cause of financing feedback? 1. Issuing additional common stock II. Purchasing additional buildings with internally generated funds III. An unexpected increase in sales IV. Borrowing from the bank 1 II III and IV I and IV It and IV IV III I and II What is one of the potental consequences of financing feedback that might cause the actual financing needs to be higher than initially thought? Financing feedback might increase charges against net income, redueing the amount of avaliable internally generated funds. reduce the level of cash on hand. spontaneously increase liablities associated with the cost of goods sold. increase the length of the operating cycle

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