Go to finance.yahoo.com. Find the (annual) balance sheet and income statement for American Electric Power (AEP)....

 

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Go to finance.yahoo.com. Find the (annual) balance sheet and income statement for American Electric Power (AEP). Suppose the company plans on 4% revenue growth over the next year. Under a percentage of sales approach, where assets and costs (except for depreciation) are pro- portional to sales, find AEP's required external funding over the next year. Assume that it will maintain the same dividend payout ratio as in the current year and that its average tax rate will be the same next year as it was in the most recent year. Go to finance.yahoo.com. Find the (annual) balance sheet and income statement for American Electric Power (AEP). Suppose the company plans on 4% revenue growth over the next year. Under a percentage of sales approach, where assets and costs (except for depreciation) are pro- portional to sales, find AEP's required external funding over the next year. Assume that it will maintain the same dividend payout ratio as in the current year and that its average tax rate will be the same next year as it was in the most recent year.

Answer rating: 100% (QA)

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