CORPORATE FINANCE--CONNECT ACCESS CARD
12th Edition
ISBN: 9781264331062
Author: Ross
Publisher: MCG CUSTOM
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Chapter 3, Problem 8QAP
Summary Introduction
To compute: The amount of external financing required.
Introduction: The cash flow statement of any company represents the inflow and outflow of cash during the specified period. Along with the amount, it states the reason for the flow of cash.
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Students have asked these similar questions
The most recent financial statements for Hornick, Inc., are shown below (assuming no income
taxes). Assets and costs are proportional to sales. Debt and equity are not. No dividends are paid.
Next year's sales are projected to be $8,968. What is the external financing needed?
Income statement
$
$
Next year's sales $
Sales
Costs
Net income
7,600
5,180
2,420
Sales
Costs
Net income
8,968
Pro forma income statement
External financing
Assets $
Total $
Complete the following analysis. Do not hard code values in your calculations.
Percent increase in sales
Assets
Balance sheet
21,700 Debt
Equity
21,700 Total $
Total
$
Pro forma balance sheet
Debt
Equity
Total
9,100
12,600
21,700
▬▬▬▬
The most recent financial statements
income taxes):
Income Statement
Sales
Costs
Net income
$6,700
3,85C
$ 2,850
Assets
Total
Balance Sheet
22,050 Debt
Equity
Total
22,050
$ 8,050
14,000
$ 22,050
Assets and costs are proportional to sales; debt and equity are not. No dividends are
paid. Next year's sales are projected to be $7.906.
What is the external financing needed? (Do not round intermediate calculations and
round your answer to the nearest whole number, e.g., 32.)
External financing needed
The most recent financial statements for Kerch, Incorporated, are shown here (assuming
no income taxes):
Income Statement
Sales
Costs
Net
income
$ 4,300
3,390
$910
Multiple Choice
$4,361
$4,491
Assets and costs are proportional to sales. Debt and equity are not. No dividends are
paid. Next year's sales are projected to be $5,972.
What is the external financing needed?
$4,241
$4,771
Assets
$4,616
Balance Sheet
$ 14,800 Debt
Equity
Total $14,800
$ 10,500
4,300
Total $14,800
Chapter 3 Solutions
CORPORATE FINANCE--CONNECT ACCESS CARD
Ch. 3 - Financial Ratio Analysis A financial ratio by...Ch. 3 - Industry-Specific Ratios So-called same-store...Ch. 3 - Sales Forecast Why do you think most long-term...Ch. 3 - Sustainable Growth In the chapter, we used...Ch. 3 - EFN and Growth Rate Broslofski Co. maintains a...Ch. 3 - Common-Size Financials One tool of financial...Ch. 3 - Asset Utilization and EFN One of the implicit...Ch. 3 - Comparing ROE and ROA Both ROA and ROE measure...Ch. 3 - Ratio Analysis Consider the ratio EBITD/Assets....Ch. 3 - Return on Investment A ratio that is becoming more...
Ch. 3 - Use the following information to answer the next...Ch. 3 - Prob. 12CQCh. 3 - Use the following information to answer the next...Ch. 3 - Use the following information to answer the next...Ch. 3 - Use the following information to answer the next...Ch. 3 - DuPont Identity If Muenster, Inc., has an equity...Ch. 3 - Equity Multiplier and Return on Equity Synovec...Ch. 3 - Prob. 3QAPCh. 3 - EFN The most recent financial statements for...Ch. 3 - Prob. 5QAPCh. 3 - Sustainable Growth If the Moran Corp. has an ROE...Ch. 3 - Prob. 7QAPCh. 3 - Prob. 8QAPCh. 3 - Prob. 9QAPCh. 3 - Prob. 10QAPCh. 3 - Prob. 11QAPCh. 3 - Prob. 12QAPCh. 3 - External Funds Needed The Optical Scam Company has...Ch. 3 - Days' Sales in Receivables A company has net...Ch. 3 - Prob. 15QAPCh. 3 - Prob. 16QAPCh. 3 - Prob. 17QAPCh. 3 - Prob. 19QAPCh. 3 - Prob. 20QAPCh. 3 - Calculating EFN The most recent financial...Ch. 3 - Prob. 22QAPCh. 3 - Prob. 23QAPCh. 3 - Prob. 26QAPCh. 3 - Prob. 27QAPCh. 3 - Prob. 28QAPCh. 3 - Prob. 29QAPCh. 3 - Prob. 30QAPCh. 3 - Calculate all of the ratios listed in the industry...Ch. 3 - Prob. 2MCCh. 3 - Prob. 3MCCh. 3 - Prob. 4MCCh. 3 - Prob. 5MC
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