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The most recent financial statements for Fleury Inc., follow. Sales for next year are proj

The most recent financial statements for Fleury Inc., follow. Sales for next year are proj

The most recent financial statements for Fleury Inc., follow. Sales for next year are projected to grow by 16 percent. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, fixed assets and accounts payable increase spontaneously with sales.

If the firm is operating at full capacity and no new debt or equity is issued, what external financing is needed to support the 16 percent growth rate in sales?

FLEURY, INC.

Income Statement

Sales

$

568162

Costs

 

505227

Other expenses

 

14906

Earnings before interest and taxes

$

?

Interest paid

 

13717

Taxable income

$

?

Taxes (30%)

 

?

Net income

 

?

 

 

 

Dividends

$

8281

Abhinav 02-Dec-2019

Answer (UnSolved)

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