For 2012, the income statement of Lunchbox Enterprises reported net sales of $27,300, EBIT of $13,450, taxable income of $9,770 and net income of $3,342. The firm paid $456 in dividends. The balance sheet reported current assets of $3,650, net fixed assets of $10,850, current liabilities of $1,920, long-term debt of $3,500, common stock of $7,500 and retained earnings of $1,580. Lunchbox Enterprises is currently operating at 92 percent of capacity. The profit margin and the dividend payout ratio are projected to remain constant. Sales are projected to increase by 4 percent next year. What is the projected addition to retained earnings for next year? 

		$1,309.60
		$1,421.40
		$1,884.96
		$2,667.74
		$3,001.44

Answer rating: 100% (QA)

300144 Explanation Note that the profit marginnet incomesales revenue an... View the full answer