Loose Leaf for Foundations of Financial Management Format: Loose-leaf
Loose Leaf for Foundations of Financial Management Format: Loose-leaf
17th Edition
ISBN: 9781260464924
Author: BLOCK
Publisher: Mcgraw Hill Publishers
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Chapter 4, Problem 2P

Philip Morris expects the sales for his clothing company to be $550,000 next year. Philip notes that net assets (Assets-Liabilities) will remain unchanged. His clothing firm will enjoy a 12 percent return on total sales. He will start the year with $150,000 in the bank. What will Philip’s ending cash balance be?

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Analyze the attached general ledger and balance sheet to see if the current assets and general ledger are accurate. Why or why not? Analyze the attached ledger and balance sheet and determine if the long-term assets and ledger are accurate.  Why or why not?
What are the appropriate depreciation methods for the company, and how can we determine this based on the attached general ledger? Based on these records, what strategy would be recommended to increase profitability and maintain strong liquidity?
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Loose Leaf for Foundations of Financial Management Format: Loose-leaf

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