Here are the abbreviated financial statements for Planner's Peanuts: INCOME STATEMENT, 2022 $ 8,500 6,700 $3,000 Sales Cost Net income Assets Total (0) (b) (c) 2021 $5,500 $5,500 25% 30% 35% BALANCE SHEET, YEAR-END 2022 $ 6,000 5.6,000 Debt Equity Total 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. External Financing Need 2021 $ 853 4,647 $5,500 2022 $1,000 5,000 $ 6,000
Here are the abbreviated financial statements for Planner's Peanuts: INCOME STATEMENT, 2022 $ 8,500 6,700 $3,000 Sales Cost Net income Assets Total (0) (b) (c) 2021 $5,500 $5,500 25% 30% 35% BALANCE SHEET, YEAR-END 2022 $ 6,000 5.6,000 Debt Equity Total 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. External Financing Need 2021 $ 853 4,647 $5,500 2022 $1,000 5,000 $ 6,000
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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Transcribed Image Text:Here are the abbreviated financial statements for Planner's Peanuts:
INCOME STATEMENT, 2822
$ 8,500
6,708
$1,800
Sales
Cost
Net income
Assets
Total
(a)
(b)
(c)
2021
$5,500
$5,500
25%
30%
35%
BALANCE SHEET, YEAR-END
2022
$ 6,000
$6,000
Debt
Equity
Total
External Financing
Need
2021
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.
$ 853
4,647
$ 5,500
2022
$1,000
5,000
$ 6,000
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