Berman & Jaccor Corporation's current sales and partial balance sheet are shown below. This year Sales $ 1,000 Balance Sheet: Assets Cash $ 100 Short-term investments $ 95 Accounts receivable $ 300 Inventories $ 200 Total current assets $ 695 Net fixed assets $ 550 Total assets $ 1,245 Sales are expected to grow by 12% next year. Assuming no change in operations from this year to next year, what are the projected total
Financial Ratios
A Ratio refers to a figure calculated as a reference to the relationship of two or more numbers and can be expressed as a fraction, proportion, percentage, or the number of times. When the number is determined by taking two accounting numbers derived from the financial statements, it is termed as the accounting ratio.
Return on Equity
The Return on Equity (RoE) is a measure of the profitability of a business concerning the funds by its stockholders/shareholders. ROE is a metric used generally to determine how well the company utilizes its funds provided by the equity shareholders.
Projected Operating Assets
Berman & Jaccor Corporation's current sales and partial
| This year | ||||
| Sales | $ | 1,000 | ||
| Balance Sheet: Assets | ||||
| Cash | $ | 100 | ||
| Short-term investments | $ | 95 | ||
| Accounts receivable | $ | 300 | ||
| Inventories | $ | 200 | ||
| Total current assets | $ | 695 | ||
| Net fixed assets | $ | 550 | ||
| Total assets | $ | 1,245 |
Sales are expected to grow by 12% next year. Assuming no change in operations from this year to next year, what are the projected total operating assets? Do not round intermediate calculations. Round your answer to the nearest dollar.
Step by step
Solved in 2 steps
