Instructions Please solve the following Question by printing this document, answering it and submitting it back to this Blackboard. Information on the Crum Company: 2001 Factor Ist pass 2000 $1,000.00 Sales x1.5 Operating costs 800,00 x1.5 ЕBIT S 200,00 Interest 16.00 EBT S 184.00 Тахes (40%) 73.60 Net Income $ 110.40 Dividends (60%) 66.24 Addition to R.E. $ 44.16 Current Assets $ 700.00 x1.5 Net fixed Assets 300.00 Total assets $1,000.00 Accounts Payable $ 150.00 Notes Payable 200.00 Common stock 150.00 Retained earnings 500,00 Total Liab & Equity $1.000.00 1. Refer to Crum Company's financial statements above. Crum expects sales to grow by 50% in 2001, and operating costs should increase at the same rate (50%). Fixed assets and Notes Payable will stay the same. Current assets should increase at the same rate as sales during 2001 (increase at 50%). The company plans to finance any external funds needed as 40% notes payable and 60% accounts payable. There is no need to consider financing feedbacks. a. Prepare the 2001 1sª Pass by printing and filling the above financial statements b. Calculate the Additional Funds Needed (AFN) (40% notes payable and 60% accounts payable).

Instructions Please solve the following Question by printing this document, answering it and submitting it back to this Blackboard. Information on the Crum Company: 2001 Factor Ist pass 2000 $1,000.00 Sales x1.5 Operating costs 800,00 x1.5 ЕBIT S 200,00 Interest 16.00 EBT S 184.00 Тахes (40%) 73.60 Net Income $ 110.40 Dividends (60%) 66.24 Addition to R.E. $ 44.16 Current Assets $ 700.00 x1.5 Net fixed Assets 300.00 Total assets $1,000.00 Accounts Payable $ 150.00 Notes Payable 200.00 Common stock 150.00 Retained earnings 500,00 Total Liab & Equity $1.000.00 1. Refer to Crum Company's financial statements above. Crum expects sales to grow by 50% in 2001, and operating costs should increase at the same rate (50%). Fixed assets and Notes Payable will stay the same. Current assets should increase at the same rate as sales during 2001 (increase at 50%). The company plans to finance any external funds needed as 40% notes payable and 60% accounts payable. There is no need to consider financing feedbacks. a. Prepare the 2001 1sª Pass by printing and filling the above financial statements b. Calculate the Additional Funds Needed (AFN) (40% notes payable and 60% accounts payable).

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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