Information from the financial statements of the Heir Jordan Corporation are shown below.Prepare the pro forma financial statements and calculate EFN, assuming a 15 percent increasein sales, no new external debt or equity financing, and a constant payout ratio.SalesCostsCashAccounts receivableInventoryNet plant and equipmentAccounts payableNotes payableLong-term debtCommon stockRetained earningsDividendsNet incomeIncrease in salesTax rateLA LA LA LA LA LA LA LA LA LA LA LA LA$$$$$$$$$46,00037,6002,9504,1006,40041,3002,4005,40028,00015,0003,9502,8806,55215%21% Pro forma income statementSalesCostsTaxable incomeTaxesNet incomeDividendsAddition to retained earningsAssetsCurrent assetsCashAccounts receivableInventoryTotalFixed assetsNet plant and equipmentBalance SheetLiabilities and Owners' equityCurrent liabilitiesAccounts payableNotes payableTotalLong-term debtOwners' equityCommon stockRetained earningsTotal

An income statement is a financial statement that shows you the company's income and expenditures.

Information from the financial statements of the Heir Jordan Corporation are shown below. Prepare the pro forma financial statements and calculate EFN, assuming a 15 percent increase in sales, no new external debt or equity financing, and a constant payout ratio. Sales Costs Cash Accounts receivable Inventory Net plant and equipment Accounts payable Notes payable Long-term debt Common stock Retained earnings Dividends Net income Increase in sales Tax rate $ $ $ $ $ LA GA $ $ 46,000 37,600 2,950 4,100 6,400 41,300 2,400 5,400 28,000 15,000 3,950 2,880 6,552 15% 21%

Information from the financial statements of the Heir Jordan Corporation are shown below. Prepare the pro forma financial statements and calculate EFN, assuming a 15 percent increase in sales, no new external debt or equity financing, and a constant payout ratio. Sales Costs Cash Accounts receivable Inventory Net plant and equipment Accounts payable Notes payable Long-term debt Common stock Retained earnings Dividends Net income Increase in sales Tax rate $ $ $ $ $ LA GA $ $ 46,000 37,600 2,950 4,100 6,400 41,300 2,400 5,400 28,000 15,000 3,950 2,880 6,552 15% 21%

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Using the financial statements mentioned above estimate the annual rate of interest paid by the corporation (cost of debt). Also, find the tax rate and capitalization ratio (proportions among equity and debt). Using these values that you have found estimate the annual weighted cost of capital (WACC) of the corporation.
Assume the following relationships for the Caulder Corp.: Sales/Total assets 1.5× Return on assets (ROA) 8.0% Return on equity (ROE) 12.0% Calculate Caulder's profit margin and debt-to-capital ratio assuming the firm uses only debt and common equity, so total assets equal total invested capital. Do not round intermediate calculations. Round your answers to two decimal places. Profit margin: % Debt-to-capital ratio: %
Provide Correct Answer from the options given
Analyze the company’s strengths and weaknesses in terms of liquidity, solvency and profitability.
Eagle Sports Supply has the following financial statements. Assume that Eagle's assets are proportional to its sales. INCOME STATEMENT, 2019 $ 800 150 Sales Costs Interest 30 Таxes 100 Net income $ 520 BALANCE SHEET, YEAR-END 2018 2019 2018 2019 $ 1,050 2,100 Assets $ 2,850 $ 3,150 Debt $ 950 1,900 $ 2,850 Equity Total $ 2,850 $ 3,150 Total $ 3,150 a. What is the internal growth rate of Eagle Sports if the dividend payout ratio is fixed at 60% and the equity-to-asset ratio is fixed at 2/3? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Internal growth rate % b. What is the sustainable growth rate? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.)
Josie Corporation reported the following information for 2022. Sales revenue $1000,000 Cost of goods sold 700,000 Operating expenses 110,000 Unrealized holding gain on available-for-sale securities 40,000 Cash dividends received on the securities 4,000 For 2022, Josie would report comprehensive income of O $194,000. O $230,000. O $234,000. O $40,000.
Please help me
Effect of Transactions on Current Position Analysis Data pertaining to the current position of Lucroy Industries Inc. follows: Cash $800,000 Marketable securities 550,000 Accounts and notes receivable (net) 850,000 Inventories 700,000 Prepaid expenses 300,000 Accounts payable 1,200,000 Notes payable (short-term) 700,000 Accrued expenses 100,000 Required: 1. Compute (a) the working capital, (b) the current ratio, and (c) the quick ratio. Round ratios to one decimal place. a. Working capital $ b. Current ratio c. Quick ratio 2. Compute the working capital, the current ratio, and the quick ratio after each of the following transactions and record the results in the appropriate columns. Consider each transaction separately and assume that only that transaction affects the data given. Round ratios to one decimal place. Transaction Working Capital Current Ratio Quick Ratio a. Sold marketable securities at no gain or loss, $500,000. $…
Provide Answer Fast With Correct Answer
How do I solve this?
A company has the following balance sheet. What is its total net operating capital? (Round it to a whole dollar, if necessary) Cash $ 20 Accounts payable $ 60 Short-term investments 30 Accruals 50 Accounts receivable 50 Notes payable 10 Inventory 80 Current liabilities xxx Current assets xxx Long-term debt 70 Net fixed assets 100 Common equity 30 Retained earnings xx Total assets $xxx Total liab. & equity $xx
Consider the following income statement for Jordan Corporation:Jordan CorporationIncome Statement Sales₱ 38,000 Costs18,400 Taxable Income₱19,600 Taxes (34%)6,664 Net Income₱12,936 Dividends₱5,200 Addition to Retained Earnings7,736 A 25% growth rate in sales is projected. Prepare a pro forma income statement assuming costs vary with sales and the dividend payout ratio is constant. What is the projected addition to retained earnings?