How would answer this question? You are estimating your company's external financing needs for the next year. Your first-pass pro forma financial statements showed a large financing deficit for next year. Which of the following changes to your company's operating plan would reduce the financing deficit if incorporated in revised pro forma financial statements? None of the options are correct. Increase cost of goods sold as a percentage of sales Increase the dividend payout ratio Increase the sales growth rate Reduce the collection period
How would answer this question? You are estimating your company's external financing needs for the next year. Your first-pass pro forma financial statements showed a large financing deficit for next year. Which of the following changes to your company's operating plan would reduce the financing deficit if incorporated in revised pro forma financial statements? None of the options are correct. Increase cost of goods sold as a percentage of sales Increase the dividend payout ratio Increase the sales growth rate Reduce the collection period
Auditing: A Risk Based-Approach (MindTap Course List)
11th Edition
ISBN:9781337619455
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Chapter11: Auditing Inventory, Goods And Services, And Accounts Payable: The Acquisition And Payment Cycle
Section: Chapter Questions
Problem 19CYBK
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How would answer this question?
You are estimating your company's external financing needs for the next year. Your first-pass pro forma financial statements showed a large financing deficit for next year. Which of the following changes to your company's operating plan would reduce the financing deficit if incorporated in revised pro forma financial statements?
None of the options are correct.
Increase cost of goods sold as a percentage of sales
Increase the dividend payout ratio
Increase the sales growth rate
Reduce the collection period
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