46. Clayton Industries is planning its operations for next year. Ronnie Clayton, the CEO, wants you to forecast the firm's additional funds needed (AFN). Data for use in your forecast are shown below. Based on the AFN equation, what is the AFN for the coming year? Dollars are in millions. ​ Last year's sales = S0 $350 Sales growth rate = g 30% Last year's total assets = A*0 $580 Last year's profit margin = M  5% Last year's accounts payable $40 Last year's notes payable $50 $500 Last year's accruals $30 Target payout ratio 60% a. $139.6 b. $130.9 c. $143.9 d. $120.9

Q: Dantzler Corporation is a fast-growing supplier of office products. Analysts project the following…

A: As the growth rate is constant from the end of year 3, we need to find the horizon value at that…

Q: You have been asked to forecast the additional funds needed (AFN) for Houston, Hargrove, &…

A: (All dollars are in millions)Last year sales, S0 = $300Change in sales = $300*40% = $120 Spontaneous…

Q: The value of a firm is estimated to be $10 million. Next year’s cash flow is expected to be $1…

A: The formula used is shown:

Q: 11) see picture

A: Formulas: Horizon value = FCF3(1+g)/r - g Market value = FCF/1+R + FCF2/(1+r)^2 + FCF3/(1+r)^3 +…

Q: Dantzler Corporation is a fast-growing supplier of office products. Analysts project the following…

A: a). The horizon value of the firm is calculated using following equationHorizon value = Where, FCF3…

Q: You have been asked to forecast the additional funds needed (AFN) for Houston, Hargrove, &…

A: Calculating Additional Funds Needed (AFN) for HHWGiven Data:Last year's sales (So) = $500.0…

Q: 11. More on the corporate valuation model Qwerty Logistics Corp. is expected to generate a free cash…

A: The current value of the FCF (free cash flows) of a company after discounting is term as the value…

Q: Dantzler Corporation is a fast-growing supplier of office products. Analysts project the following…

A: The worthiness of a company based on future constant cash flows for an indefinite period occurring…

Q: inital

A: Initial investment is calculated as follows: Investment in equipment + 10% of working capital Given:…

Q: Next year’s cash flow to invested capital is expected to be $1 million and the long-term growth is…

A: in this problem we can find value of firm from discount rate and growth rate.

Q: Database Systems is considering expansion into a new product line. Assets to support expansion will…

A: The net income is the amount left over after deducting costs, allowances and taxes.The return on…

Q: Towson Industries is considering an investment of $496,800 that is expected to generate returns of…

A: In Simple terms, Under IRR Present Value of Cash Inflow = Cash Outflow

Q: Dantzler Corporation is a fast-growing supplier of office products. Analysts project the followin…

A: The value of company can be found as the present value of free cash flow taken on WACC as weighted…

Q: Daniel Sawyer, the CEO of the Sawyer Group, is initiating planning for the company's operations next…

A: AFN =(A0/S0)ΔS − (L0/S0)ΔS − Profit margin × S1 × (1 − Payout Ratio)      Last year's total assets =…

Q: n your internship with Lewis, Lee, & Taylor Inc. you have been asked to forecast the firm's…

A: To achieve more growth company have to increase the assets and money is required for that, it may be…

Q: yer, the CEO of the Sawyer Group, is initiating planning for the company's operations next year, and…

A: Companies always wants to increase the sales and hence increase profits but that require investment…

Q: nternship with Lewis, Lee, & Taylor Inc. you have been asked to forecast the firm's additional funds…

A: AFN = Increased in Assets - Increased in Liabilities - Addition to Retained Earnings

Q: UBTECH Robotics is expected to generate the following free cash flows over the next fiveyears. After…

A: Let Ci be the free cash flow (FCF) for year i.Please note that the question talks about forecast of…

Q: dering Projects ver company has lost investment information for Project period for both projects are…

A: Payback period is the period required to recover initial cash flow of the project and is one simple…

Q: (Financial forecasting-discretionary financing needs) Sambonoza Enterprises projects its sales next…

A: Sambonoza's financing requirements or total assets for the coming year are $835,000 or $0.84…

Q: aniel Sawyer, the CEO of the Sawyer Group, is initiating planning for the company's operations next…

A: We need to use additional funds needed (AFN) equation below AFN =AS0*∆S -LS0*∆S -P*S1*(R) Where…

Q: Forecasting financing needs) Beason Manufacturing forecasts its sales next year to be $5.4 million…

A: Net income refers to an amount that is being earned by the company from its business after deducting…

Q: In your internship with Lewis, Lee, & Taylor Inc. you have been asked to forecast the firm's…

A: The additional funds needed (AFN) can be calculated using the formula,The notes payable are not…

Q: ing Starting a commercial real estate division. It has prepared the following fo forecast of free…

A: Terminal value is the value of contant growth part of the cash flow and it is the value of continued…

Q: You are considering a $7,000 investment. The table shows the possible outcomes in cash flow next…

A: Standard deviation refers to the dispersion of the data values from its mean value. The higher the…

Q: your internship with Lewis, Lee, & Taylor Inc. you have been asked to forecast the firm's additional…

A: To maintain growth in sales we need to increase assets in proportion and hence to do that more money…

Q: Use Excel’s NPV function for this problem. Riverside Inc. has an 8% cost of capital. The firm has an…

A: Net Present Value Formula in Excel for Present Values = NPV( Rate,Values) Rate= 0.08 Values,…

Q: Please give me answer

A: Definition of Net Income:Net income, also known as net profit or earnings, is the amount of money a…

Q: Sawyer, the CEO of the Sawyer Group, is initiating planning for the company's operations next year,…

A: The company needs growth of sales and growth of profit because the growth will create value for…

Q: first question

A: Financial ratios refer to the magnitude of two values that should be taken from the firm’s…

Q: Company Rapid Growth is considering the following project: Year 0 1 2 3 4 5 Cash Flows -$87800…

A: Profitability Index: It is the tool that measures the relationship between PV(Present Value) of cash…

Q: The common size entry for Taxes in 2023 is 1 Outside Funds Needed in 2024 is $ 1100 %. (Input number…

A: Outside funds refer to the capital needed by a company to finance its operations beyond what can be…

Q: Chua Chang & Wu Inc. is planning its operations for next year, and the CEO wants you to forecast the…

A: Additional Fund needed is the method to calculate how much new funding is required to meet the…

Q: The following table shows projected free cash flows for the next four years for Quick Sky Corp, a…

A: Value of company is the sum of equity and debt and can be found as the present value of free cash…

Q: Part 1 What is the project's profitability index? 2+ decimals Submit

A: Profitability index (PI) refers to a method which is used in the capital budgeting process to rank…

Q: r expected return on this investment?

A: Expected return on investment refers to the rate of return that an investor is expecting on an…

Q: (Forecasting financing needs) Beason Manufacturing forecasts its sales next year to be $5.6 million…

A: Next year's sales = 5,600,000Profit after tax = 4.3% of salesCurrent assets = 19.3% of salesFixed…

Q: Daniel Sawyer, the CEO of the Sawyer Group, is initiating planning for the company's operations next…

A: AFN, which stands for "Additional Funds Needed," signifies the capital a company must secure…

Q: In your internship with Lewis, Lee, & Taylor Inc. you have been asked to forecast the firm's…

A: concept. AFN equation. AFN = additional funds needed. AFN = Increase in assets - Increase in…