ezto.mheducation.com HW 5 (Ch 5-6) i 11 1.5 points Sales Costs Other expenses EBIT Skipped eBook Hint Interest paid Taxable income Taxes (22%) Net income Dividends References Add to RE Mc Graw Hill Pro Forma Income Statement 15% Sales Growth Saved 20% Sales Growth 45% Sales Growth Help Save & Exit Check my Calculate the EFN for 15, 20 and 45 percent growth rates. Note: A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answe the nearest whole number, e.g., 32. 15% 20% 45% < Prev 11 of 20 Next O O O G 田 Question 11 - HW 5 (Ch 5-6) - Connect ezto.mheducation.com V 5 (Ch 5-6) 11 nts Saved Help Save & Exit Submit Check my work The most recent financial statements for Crosby, Incorporated, ollow. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, fixed assets, and accounts payable increase spontaneously with sales. Assume the firm is operating at full capacity and the debt-equity ratio is held constant. Skipped Sales Costs eBook Hint eferences C raw 115 CROSBY, INCORPORATED 2023 Income Statement Other expenses Earnings before interest and taxes Interest paid Taxable income Taxes (22%) $ 765,000 621,000 30,000 $ 114,000 14,800 $ 99,200 21,824 Net income Dividends Addition to retained earnings $ 77,376 $ 35,940 41,436 CROSBY, INCORPORATED Balance Sheet as of December 31, 2023 Assets Liabilities and Owners' Equity Current assets Cash Accounts receivable Inventory Total Fixed assets $ 25,440 34,880 Current liabilities Accounts payable Notes payable 71,600 Total $ 131,920 Net plant and equipment $ 222.000 Long-term debt Owners' equity Common stock and paid-in surplus Retained earnings $ 62,200 18,200 $ 80,400 $ 113,000 $ 108,000 52.520 < Prev 11 of 20 # O O O Next > +x 1+ 田 ||| 口 O <
ezto.mheducation.com HW 5 (Ch 5-6) i 11 1.5 points Sales Costs Other expenses EBIT Skipped eBook Hint Interest paid Taxable income Taxes (22%) Net income Dividends References Add to RE Mc Graw Hill Pro Forma Income Statement 15% Sales Growth Saved 20% Sales Growth 45% Sales Growth Help Save & Exit Check my Calculate the EFN for 15, 20 and 45 percent growth rates. Note: A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answe the nearest whole number, e.g., 32. 15% 20% 45% < Prev 11 of 20 Next O O O G 田 Question 11 - HW 5 (Ch 5-6) - Connect ezto.mheducation.com V 5 (Ch 5-6) 11 nts Saved Help Save & Exit Submit Check my work The most recent financial statements for Crosby, Incorporated, ollow. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, fixed assets, and accounts payable increase spontaneously with sales. Assume the firm is operating at full capacity and the debt-equity ratio is held constant. Skipped Sales Costs eBook Hint eferences C raw 115 CROSBY, INCORPORATED 2023 Income Statement Other expenses Earnings before interest and taxes Interest paid Taxable income Taxes (22%) $ 765,000 621,000 30,000 $ 114,000 14,800 $ 99,200 21,824 Net income Dividends Addition to retained earnings $ 77,376 $ 35,940 41,436 CROSBY, INCORPORATED Balance Sheet as of December 31, 2023 Assets Liabilities and Owners' Equity Current assets Cash Accounts receivable Inventory Total Fixed assets $ 25,440 34,880 Current liabilities Accounts payable Notes payable 71,600 Total $ 131,920 Net plant and equipment $ 222.000 Long-term debt Owners' equity Common stock and paid-in surplus Retained earnings $ 62,200 18,200 $ 80,400 $ 113,000 $ 108,000 52.520 < Prev 11 of 20 # O O O Next > +x 1+ 田 ||| 口 O <
Chapter14: Taxes On The Financial Statements
Section: Chapter Questions
Problem 30P
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Transcribed Image Text:ezto.mheducation.com
HW 5 (Ch 5-6) i
11
1.5
points
Sales
Costs
Other expenses
EBIT
Skipped
eBook
Hint
Interest paid
Taxable income
Taxes (22%)
Net income
Dividends
References
Add to RE
Mc
Graw
Hill
Pro Forma Income Statement
15% Sales Growth
Saved
20% Sales Growth
45% Sales Growth
Help
Save & Exit
Check my
Calculate the EFN for 15, 20 and 45 percent growth rates.
Note: A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answe
the nearest whole number, e.g., 32.
15%
20%
45%
< Prev
11 of 20
Next
O O O
G
田
Transcribed Image Text:Question 11 - HW 5 (Ch 5-6) - Connect
ezto.mheducation.com
V 5 (Ch 5-6)
11
nts
Saved
Help
Save & Exit Submit
Check my work
The most recent financial statements for Crosby, Incorporated, ollow. Interest expense will remain constant; the tax rate and the
dividend payout rate will also remain constant. Costs, other expenses, current assets, fixed assets, and accounts payable increase
spontaneously with sales. Assume the firm is operating at full capacity and the debt-equity ratio is held constant.
Skipped
Sales
Costs
eBook
Hint
eferences
C
raw
115
CROSBY, INCORPORATED
2023 Income Statement
Other expenses
Earnings before interest and taxes
Interest paid
Taxable income
Taxes (22%)
$ 765,000
621,000
30,000
$ 114,000
14,800
$ 99,200
21,824
Net income
Dividends
Addition to retained earnings
$ 77,376
$ 35,940
41,436
CROSBY, INCORPORATED
Balance Sheet as of December 31, 2023
Assets
Liabilities and Owners' Equity
Current assets
Cash
Accounts receivable
Inventory
Total
Fixed assets
$ 25,440
34,880
Current liabilities
Accounts payable
Notes payable
71,600
Total
$ 131,920
Net plant and equipment
$ 222.000
Long-term debt
Owners' equity
Common stock and paid-in surplus
Retained earnings
$ 62,200
18,200
$ 80,400
$ 113,000
$ 108,000
52.520
< Prev
11 of 20
# O O O
Next >
+x
1+
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|||
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