Homework Help is Here – Start Your Trial Now!
Business
Finance
The most recent financial statements for Hopington Tours Inc. follow. Sales for 2020 are projected to grow by 25%. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, and accounts payable increase spontaneously with sales. The firm is operating at full capacity and no new debt or equity is issued. Sales Costs HOPINGTON TOURS INC. 2019 Statement of Comprehensive Income $763,000 598,000 19,000 Other expenses Earnings before interest and taxes Interest paid Taxable income Taxes (35%) $146,000 10,000 $136,000 47,600 Net income $ 88,400 Dividends $21,760 Addition to retained earnings 66,640 HOPINGTON TOURS INC. Statement of Financial Position as of December 31, 2019 Assets Liabilities and Owners' Equity Current assets Cash Accounts receivable $ 27,300 42,700 Current liabilities Accounts payable Notes payable $ 70,000 19,000 Inventory 88,900 Total Total $158,900 Long-term debt $ 89,000 $146,000 Owners' equity Fixed assets Net plant and equipment $270,000 Total assets Common stock and paid-in surplus Retained earnings Total $428,900 Total liabilities and owners' equity $428,900 Complete the pro forma statement of comprehensive income below. (Input all amounts as positive values. Omit $ sign in your response.) $132,000 61,900 $193,900 HOPINGTON TOURS INC. Pro Forma Statement of Comprehensive Income Sales Costs Other expenses EBIT Interest Taxable income Taxes (35%) Net income Dividends Add. to RE 25 % Sales Growth Complete the pro forma statement of financial position below. Current assets Cash Assets Accounts receivable Inventory Total Fixed assets Net plant and equipment Total assets Calculate the EFN for 25% growth rates. EFN 25% $ HOPINGTON TOURS INC. Pro Forma Statement of Financial Position Liabilities and Owners' Equity Current liabilities Accounts payable $ Notes payable $ Total $ Long-term debt $ Owners' equity Common stock and paid-in surplus Retained earnings Total Total liabilities and owners' equity $ $ $ $

The most recent financial statements for Hopington Tours Inc. follow. Sales for 2020 are projected to grow by 25%. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, and accounts payable increase spontaneously with sales. The firm is operating at full capacity and no new debt or equity is issued. Sales Costs HOPINGTON TOURS INC. 2019 Statement of Comprehensive Income $763,000 598,000 19,000 Other expenses Earnings before interest and taxes Interest paid Taxable income Taxes (35%) $146,000 10,000 $136,000 47,600 Net income $ 88,400 Dividends $21,760 Addition to retained earnings 66,640 HOPINGTON TOURS INC. Statement of Financial Position as of December 31, 2019 Assets Liabilities and Owners' Equity Current assets Cash Accounts receivable $ 27,300 42,700 Current liabilities Accounts payable Notes payable $ 70,000 19,000 Inventory 88,900 Total Total $158,900 Long-term debt $ 89,000 $146,000 Owners' equity Fixed assets Net plant and equipment $270,000 Total assets Common stock and paid-in surplus Retained earnings Total $428,900 Total liabilities and owners' equity $428,900 Complete the pro forma statement of comprehensive income below. (Input all amounts as positive values. Omit $ sign in your response.) $132,000 61,900 $193,900 HOPINGTON TOURS INC. Pro Forma Statement of Comprehensive Income Sales Costs Other expenses EBIT Interest Taxable income Taxes (35%) Net income Dividends Add. to RE 25 % Sales Growth Complete the pro forma statement of financial position below. Current assets Cash Assets Accounts receivable Inventory Total Fixed assets Net plant and equipment Total assets Calculate the EFN for 25% growth rates. EFN 25% $ HOPINGTON TOURS INC. Pro Forma Statement of Financial Position Liabilities and Owners' Equity Current liabilities Accounts payable $ Notes payable $ Total $ Long-term debt $ Owners' equity Common stock and paid-in surplus Retained earnings Total Total liabilities and owners' equity $ $ $ $

Essentials Of Investments
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
See similar textbooks
icon
Related questions
Question
None
The most recent financial statements for Hopington Tours Inc. follow. Sales for 2020 are projected to grow by 25%. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, and accounts payable increase spontaneously with sales. The firm is operating at full capacity and no new debt or equity is issued. Sales Costs HOPINGTON TOURS INC. 2019 Statement of Comprehensive Income $763,000 598,000 19,000 Other expenses Earnings before interest and taxes Interest paid Taxable income Taxes (35%) $146,000 10,000 $136,000 47,600 Net income $ 88,400 Dividends $21,760 Addition to retained earnings 66,640 HOPINGTON TOURS INC. Statement of Financial Position as of December 31, 2019 Assets Liabilities and Owners' Equity Current assets Cash Accounts receivable $ 27,300 42,700 Current liabilities Accounts payable Notes payable $ 70,000 19,000 Inventory 88,900 Total Total $158,900 Long-term debt $ 89,000 $146,000 Owners' equity Fixed assets Net plant and equipment $270,000 Total assets Common stock and paid-in surplus Retained earnings Total $428,900 Total liabilities and owners' equity $428,900 Complete the pro forma statement of comprehensive income below. (Input all amounts as positive values. Omit $ sign in your response.) $132,000 61,900 $193,900 HOPINGTON TOURS INC. Pro Forma Statement of Comprehensive Income Sales Costs Other expenses EBIT Interest Taxable income Taxes (35%) Net income Dividends Add. to RE 25 % Sales Growth Complete the pro forma statement of financial position below. Current assets Cash Assets Accounts receivable Inventory Total Fixed assets Net plant and equipment Total assets Calculate the EFN for 25% growth rates. EFN 25% $ HOPINGTON TOURS INC. Pro Forma Statement of Financial Position Liabilities and Owners' Equity Current liabilities Accounts payable $ Notes payable $ Total $ Long-term debt $ Owners' equity Common stock and paid-in surplus Retained earnings Total Total liabilities and owners' equity $ $ $ $
Transcribed Image Text:The most recent financial statements for Hopington Tours Inc. follow. Sales for 2020 are projected to grow by 25%. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, and accounts payable increase spontaneously with sales. The firm is operating at full capacity and no new debt or equity is issued. Sales Costs HOPINGTON TOURS INC. 2019 Statement of Comprehensive Income $763,000 598,000 19,000 Other expenses Earnings before interest and taxes Interest paid Taxable income Taxes (35%) $146,000 10,000 $136,000 47,600 Net income $ 88,400 Dividends $21,760 Addition to retained earnings 66,640 HOPINGTON TOURS INC. Statement of Financial Position as of December 31, 2019 Assets Liabilities and Owners' Equity Current assets Cash Accounts receivable $ 27,300 42,700 Current liabilities Accounts payable Notes payable $ 70,000 19,000 Inventory 88,900 Total Total $158,900 Long-term debt $ 89,000 $146,000 Owners' equity Fixed assets Net plant and equipment $270,000 Total assets Common stock and paid-in surplus Retained earnings Total $428,900 Total liabilities and owners' equity $428,900 Complete the pro forma statement of comprehensive income below. (Input all amounts as positive values. Omit $ sign in your response.) $132,000 61,900 $193,900 HOPINGTON TOURS INC. Pro Forma Statement of Comprehensive Income Sales Costs Other expenses EBIT Interest Taxable income Taxes (35%) Net income Dividends Add. to RE 25 % Sales Growth Complete the pro forma statement of financial position below. Current assets Cash Assets Accounts receivable Inventory Total Fixed assets Net plant and equipment Total assets Calculate the EFN for 25% growth rates. EFN 25% $ HOPINGTON TOURS INC. Pro Forma Statement of Financial Position Liabilities and Owners' Equity Current liabilities Accounts payable $ Notes payable $ Total $ Long-term debt $ Owners' equity Common stock and paid-in surplus Retained earnings Total Total liabilities and owners' equity $ $ $ $
Expert Solution
steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Recommended textbooks for you
Essentials Of Investments
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
FUNDAMENTALS OF CORPORATE FINANCE
FUNDAMENTALS OF CORPORATE FINANCE
Finance
ISBN:
9781260013962
Author:
BREALEY
Publisher:
RENT MCG
Financial Management: Theory & Practice
Financial Management: Theory & Practice
Finance
ISBN:
9781337909730
Author:
Brigham
Publisher:
Cengage
Foundations Of Finance
Foundations Of Finance
Finance
ISBN:
9780134897264
Author:
KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:
Pearson,
Fundamentals of Financial Management (MindTap Cou…
Fundamentals of Financial Management (MindTap Cou…
Finance
ISBN:
9781337395250
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Finance
ISBN:
9780077861759
Author:
Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS