Here are the abbreviated financial statements for Planner's Peanuts:(b)(c)INCOME STATEMENT, 2022SalesCostNet incomeAssetsTotal$ 5,5004,300$ 1,20025%30%35%2021$ 8,500ISS$8.500BALANCE SHEET, YEAR-END2022$ 9,000$ 9,000DebtEquityTotalAnswer is complete but not entirely correct.ExternalFinancing Need2.275.002,726.003,177.00Assets are proportional to sales. If the dividend payout ratio is fixed at 50%, calculate the required total external financingfor growth rates in 2023 of (a) 25%, (b) 30%, and (c) 35%.Note: Do not round intermediate calculations. Round your answers to 2 decimal places.2021$ 8237,677$ 8.5002022$ 1.0008,000$ 9.000

Answer a. Considering 25% growth, the sales will grow to >$6,875(i.e. 5,500*1.25). The costs will…

Answered: Assets are proportional to sales. If…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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The following table tracks the main components of working capital over the life of a four-year project. 2021 2022 2023 2024 2025 Accounts receivable 0 174,000 249,000 214,000 0 Inventory 87,000 142,000 142,000 107,000 0 Accounts payable 31,000 56,000 62,000 41,000 0 Calculate net working capital and the cash inflows and outflows due to investment in working capital.
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Answer ASAP please write the formula used please.

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Assets are proportional to sales. If the dividend payout ratio is fixed at 50%, calculate the required total external financing for growth rates in 2023 of (a) 25%, (b) 30%, and (c) 35%. Note: Do not round intermediate calculations. Round your answers to 2 decimal places.