The most recent financial statements for Martin, Inc., are shown here: Income Statement: Sales $24, 550 Costs -14,730 Taxable income $9,820 Taxes (21 %) -2,062 Net income $7,758 Balance Sheet: Assets $93,290 Debt $33,000 Equity 60,290 Total $93, 290 Total $93, 290 Assets and costs are proportional to sales. Debt and equity are not. A dividend of $ 955 was paid, and Martin wishes to maintain a constant payout ratio. Next year's sales are projected to be $29,951. What is the external financing needed? (Do not round intermediate calculations. Round your answer to 2 decimal places. )

The most recent financial statements for Martin, Inc., are shown here: Income Statement: Sales $24, 550 Costs -14,730 Taxable income $9,820 Taxes (21 %) -2,062 Net income $7,758 Balance Sheet: Assets $93,290 Debt $33,000 Equity 60,290 Total $93, 290 Total $93, 290 Assets and costs are proportional to sales. Debt and equity are not. A dividend of $ 955 was paid, and Martin wishes to maintain a constant payout ratio. Next year's sales are projected to be $29,951. What is the external financing needed? (Do not round intermediate calculations. Round your answer to 2 decimal places. )

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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The most recent financial statements for Mandy Company are shown here: Income Statement Sales Costs $19,000 12,880 Current assets Fixed assets Balance Sheet $ 11,720 Debt 26,550 Equity $ 15,760 22,510 Taxable income $ 6,120 Total $ 38,270 Total $ 38,270 Taxes (21%) 1,285 Net Income $ 4,835 Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 35 percent dividend payout ratio. What is the sustainable growth rate? (Do not round Intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Sustainable growth rate %
The most recent financial statements for Mandy Company are shown here: Income Statement Balance Sheet $ 11,980 Debt 32,400 Equity Sales Costs Taxable income Taxes (21%) Net income $ 20,300 13,900 $ 6,400 1,344 $ 5,056 Current assets Fixed assets Total $ 44,380 Total $ 16,540 27,840 $44,380 Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 45 percent dividend payout ratio. What is the internal growth rate? (Do not round intermediate calculations and enter your answer as a percent rounded 2 decimal places, e.g., 32.16.)
The most recent financial statements for Bello Co. are shown here: Income Statement Sales Costs Taxable income $20,400 14,000 $ 6,400 Taxes (22%) Net income $ 4,992 1,408 Balance Sheet Current assets $ 12,000 Debt Fixed assets 32,850 Equity Total $ 16,600 28,250 $44,850 Total $44,850 Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 35 percent dividend payout ratio. What is the internal growth rate? (Do not round intermediate calculations and enter your answer as a percent rounded 2 decimal places, e.g., 32.16.)
The most recent financial statements for Camryn, Incorporated, are shown here (assuming no income taxes): Income Statement Sales Costs Balance Sheet $6,500 Assets $23,500 Debt $ 9,500 4,610 Equity 14,000 Net income $1,890 Total $ 23,500 Total $ 23,500 Assets and costs are proportional to sales. Debt and equity are not. No dividends are paid. Next year's sales are projected to be $7,150. What is the external financing needed? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) External financing needed
The most recent financial statements for Alexander Company are shown here: Income Statement Balance Sheet Sales $ 55,000 Current assets $ 86,130 Long-term debt $ 59,400 Costs 35,200 Fixed assets 47,520 Equity 74,250 Taxable income $ 19,800 Total $ 133,650 Total $ 133,650 Taxes (22%) 4,356 Net income $ 15,444 Assets and costs are proportional to sales. The company maintains a constant 36 percent dividend payout ratio and a constant debt-equity ratio. What is the maximum increase in sales that can be sustained assuming no new equity is issued?
Given the following income statements and Balance sheet, find the following financial ratios Income Statement Sales revenue 30,000,000 Less cost of goods 21,000,000 Gross profit 9,000,000 Less operating expenses 6,000,000 Operating profit (EBIT) 3,000,000 Less interest expenses 1,000,000 Net profit before taxes 2,000,000 Less taxes (40%) 800,000 Net profit after tax 1,200,000 Less preferred stock dividends 100,000 Earnings available for common 1,100,000 Stock holders Balance Sheet Assets Liabilities Cash…
The most recent financial statements for Bradley, Inc., are shown here (assuming no income taxes): Sales Costs Income Statement. Net income Assets: Total EFN $6,800 -4,080 $2,720 Balance Sheet. $20,400 Debt $20,400 Equity Total $10,600 9,800 $20,400 Assets and costs are proportional to sales. Debt and equity are not. No dividends are paid. Next year's sales are projected to be $7,752. What is the external financing needed? (A negative value should be indicated by a minus si Do not round intermediate calculations. Round your answer to the nearest whole number.)
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The most recent financial statements for Kerch, Inc., are shown here (assuming no income taxes): Income Statement Balance Sheet Sales Costs $9,300 7,330 Assets $20,000 Debt Equity $ 8,000 12,000 Net income $ 1,970 Total $20,000 Total $20,000 Assets and costs are proportional to sales. Debt and equity are not. No dividends are paid. Next year's sales are projected to be $10,788. What is the external financing needed? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) External financing needed
The most recent financial statements for Mandy Company are shown here: Income Statement Balance Sheet $ 11,940 Debt 31,500 Equity Sales Costs Taxable income Taxes (21%) Net income $ 20,100 Current assets 13,800 Fixed assets Internal growth rate $ 6,300 1,323 $ 4,977 Total $ 43,440 % $ 16,420 27,020 Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 45 percent dividend payout ratio. What is the internal growth rate? (Do not round intermediate calculations and enter your answer as a percent rounded 2 decimal places, e.g., 32.16.) Total $ 43,440
The most recent financial statements for Mixton, Incorporated, are shown here: INCOME STATEMENT Sales Costs Taxable income Taxes (22%) Net income $ 52,000 Assets 42,400 $ 9,600 2,112 $ 7,488 Total BALANCE SHEET Debt Equity Total Answer is complete but not entirely correct. External financing needed s 11,990 X $ 115,700 $ 115,700 $ 34,500 81,200 $ 115,700 Assets and costs are proportional to sales. Debt and equity are not. A dividend of $2,900 was paid, and the company wishes to maintain a constant payout ratio. Next year's sales are projected to be $61,360. What is the external financing needed? Note: Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.
Consider the following income statement for the Heir Jordan Corporation: HEIR JORDAN CORPORATIONIncome Statement Sales $ 47,600 Costs 35,600 Taxable income $ 12,000 Taxes (25%) 3,000 Net income $ 9,000 Dividends $ 3,000 Addition to retained earnings 6,000 The balance sheet for the Heir Jordan Corporation follows. Based on this information and the income statement, supply the missing information using the percentage of sales approach. Assume that accounts payable vary with sales, whereas notes payable do not. (Leave no cells blank - be certain to enter "0" whenever the item is not a constant percentage of sales. Enter each answer as a percent rounded 2 decimal places, e.g., 32.16.) HEIR JORDAN CORPORATION Balance Sheet Percentage of Sales Percentage of Sales Assets…

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