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Answer is complete but not entirely correct. 4,972.00 EFN

Answer is complete but not entirely correct. 4,972.00 EFN

Managerial Accounting: The Cornerstone of Business Decision-Making
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter15: Financial Statement Analysis
Section: Chapter Questions
Problem 22BEA: The income statement, statement of retained earnings, and balance sheet for Somerville Company are...
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The most recent financial statements for Martin, Inc., are shown here: Sales Costs Taxable income Taxes (21%) Net Income Assets Total Income Statement EFN $22,000 -13,200 $61,600 $8,800 -1,848 $6,952 Balance Sheet $61,600 Debt Equity Total $25,000 36,600 $61,600 Assets and costs are proportional to sales. Debt and equity are not. A dividend of $880 was paid, and Martin wishes to maintain a constant payout ratio. Next year's sales are projected to be $25,740. What is the external financing needed? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Answer is complete but not entirely correct. $ 4,972.00
Transcribed Image Text:The most recent financial statements for Martin, Inc., are shown here: Sales Costs Taxable income Taxes (21%) Net Income Assets Total Income Statement EFN $22,000 -13,200 $61,600 $8,800 -1,848 $6,952 Balance Sheet $61,600 Debt Equity Total $25,000 36,600 $61,600 Assets and costs are proportional to sales. Debt and equity are not. A dividend of $880 was paid, and Martin wishes to maintain a constant payout ratio. Next year's sales are projected to be $25,740. What is the external financing needed? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Answer is complete but not entirely correct. $ 4,972.00
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