The most recent financial statements for Crosby Incorporated, follow. Sales for 2021 are projected to grow...

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The most recent financial statements for Crosby Incorporated, follow. Sales for 2021 are projected to grow by 30 percent. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets and accounts payable increase spontaneously with sales. CROSBY, INCORPORATED 2020 Income Statement Sales Costs Other expenses Earnings before interest and taxes Interest paid Taxable income Taxes (25%) Net income Dividends Addition to retained earnings $ 24,975 58,275 $ 758,000 593,000 29,000 $ 136,000 25,000 $111.000 27,750 $ 83,250 CROSBY, INCORPORATED Balance Sheet as of December 31, 2020 Assets Current assets Cash Accounts receivable Inventory Total: Total assets $ 21,740 44,680 102,960 $ 169,380 Fixed assets Net plant and equipment $ 434,000 $603,380 Liabilities and Owners' Equity Current liabilities Accounts payable Notes payable Total Long-term debt Owners' equity Common stock and paid-in surplus Retained earnings $ 55,900 15,100 $71,000 $ 141,000 $ 120,000 271,380 Total $391,380 Total liabilities and owners' equity $603,380 In 2020, the firm operated at 75 percent of capacity. Construct the pro forma income In 2020, the firm operated at 75 percent of capacity. Construct the pro forma income statement and balance sheet for the company. Assume that the company cannot sell fixed assets. This implies that asset utilization may remain less than 100 percent next year as well. (Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.) Pro Forma Income Statement Sales Costs Other expenses EBIT Answer is not complete. Interest Taxable income Taxes (25%) Net income $ $ $ 0 0 Current assets Cash Accounts receivable Inventory Total current assets Fixed assets Assets Net plant and equipment Total assets IS Pro Forma Balance Sheet 0 Answer is not complete. 0 Current liabilities Liabilities and Owners' Equity Accounts payable Notes payable Total current liabilities Long-term debt Owners equity Common stock and paid-in surplus Retained earnings Total owner's equity Total liabilities and owners equity 0 0 0 What is the EFN? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g. 32. A negative answer should be indicated by a minus sign.) The most recent financial statements for Crosby Incorporated, follow. Sales for 2021 are projected to grow by 30 percent. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets and accounts payable increase spontaneously with sales. CROSBY, INCORPORATED 2020 Income Statement Sales Costs Other expenses Earnings before interest and taxes Interest paid Taxable income Taxes (25%) Net income Dividends Addition to retained earnings $ 24,975 58,275 $ 758,000 593,000 29,000 $ 136,000 25,000 $111.000 27,750 $ 83,250 CROSBY, INCORPORATED Balance Sheet as of December 31, 2020 Assets Current assets Cash Accounts receivable Inventory Total: Total assets $ 21,740 44,680 102,960 $ 169,380 Fixed assets Net plant and equipment $ 434,000 $603,380 Liabilities and Owners' Equity Current liabilities Accounts payable Notes payable Total Long-term debt Owners' equity Common stock and paid-in surplus Retained earnings $ 55,900 15,100 $71,000 $ 141,000 $ 120,000 271,380 Total $391,380 Total liabilities and owners' equity $603,380 In 2020, the firm operated at 75 percent of capacity. Construct the pro forma income In 2020, the firm operated at 75 percent of capacity. Construct the pro forma income statement and balance sheet for the company. Assume that the company cannot sell fixed assets. This implies that asset utilization may remain less than 100 percent next year as well. (Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.) Pro Forma Income Statement Sales Costs Other expenses EBIT Answer is not complete. Interest Taxable income Taxes (25%) Net income $ $ $ 0 0 Current assets Cash Accounts receivable Inventory Total current assets Fixed assets Assets Net plant and equipment Total assets IS Pro Forma Balance Sheet 0 Answer is not complete. 0 Current liabilities Liabilities and Owners' Equity Accounts payable Notes payable Total current liabilities Long-term debt Owners equity Common stock and paid-in surplus Retained earnings Total owner's equity Total liabilities and owners equity 0 0 0 What is the EFN? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g. 32. A negative answer should be indicated by a minus sign.) The most recent financial statements for Crosby Incorporated, follow. Sales for 2021 are projected to grow by 30 percent. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets and accounts payable increase spontaneously with sales. CROSBY, INCORPORATED 2020 Income Statement Sales Costs Other expenses Earnings before interest and taxes Interest paid Taxable income Taxes (25%) Net income Dividends Addition to retained earnings $ 24,975 58,275 $ 758,000 593,000 29,000 $ 136,000 25,000 $111.000 27,750 $ 83,250 CROSBY, INCORPORATED Balance Sheet as of December 31, 2020 Assets Current assets Cash Accounts receivable Inventory Total: Total assets $ 21,740 44,680 102,960 $ 169,380 Fixed assets Net plant and equipment $ 434,000 $603,380 Liabilities and Owners' Equity Current liabilities Accounts payable Notes payable Total Long-term debt Owners' equity Common stock and paid-in surplus Retained earnings $ 55,900 15,100 $71,000 $ 141,000 $ 120,000 271,380 Total $391,380 Total liabilities and owners' equity $603,380 In 2020, the firm operated at 75 percent of capacity. Construct the pro forma income In 2020, the firm operated at 75 percent of capacity. Construct the pro forma income statement and balance sheet for the company. Assume that the company cannot sell fixed assets. This implies that asset utilization may remain less than 100 percent next year as well. (Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.) Pro Forma Income Statement Sales Costs Other expenses EBIT Answer is not complete. Interest Taxable income Taxes (25%) Net income $ $ $ 0 0 Current assets Cash Accounts receivable Inventory Total current assets Fixed assets Assets Net plant and equipment Total assets IS Pro Forma Balance Sheet 0 Answer is not complete. 0 Current liabilities Liabilities and Owners' Equity Accounts payable Notes payable Total current liabilities Long-term debt Owners equity Common stock and paid-in surplus Retained earnings Total owner's equity Total liabilities and owners equity 0 0 0 What is the EFN? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g. 32. A negative answer should be indicated by a minus sign.) The most recent financial statements for Crosby Incorporated, follow. Sales for 2021 are projected to grow by 30 percent. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets and accounts payable increase spontaneously with sales. CROSBY, INCORPORATED 2020 Income Statement Sales Costs Other expenses Earnings before interest and taxes Interest paid Taxable income Taxes (25%) Net income Dividends Addition to retained earnings $ 24,975 58,275 $ 758,000 593,000 29,000 $ 136,000 25,000 $111.000 27,750 $ 83,250 CROSBY, INCORPORATED Balance Sheet as of December 31, 2020 Assets Current assets Cash Accounts receivable Inventory Total: Total assets $ 21,740 44,680 102,960 $ 169,380 Fixed assets Net plant and equipment $ 434,000 $603,380 Liabilities and Owners' Equity Current liabilities Accounts payable Notes payable Total Long-term debt Owners' equity Common stock and paid-in surplus Retained earnings $ 55,900 15,100 $71,000 $ 141,000 $ 120,000 271,380 Total $391,380 Total liabilities and owners' equity $603,380 In 2020, the firm operated at 75 percent of capacity. Construct the pro forma income In 2020, the firm operated at 75 percent of capacity. Construct the pro forma income statement and balance sheet for the company. Assume that the company cannot sell fixed assets. This implies that asset utilization may remain less than 100 percent next year as well. (Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.) Pro Forma Income Statement Sales Costs Other expenses EBIT Answer is not complete. Interest Taxable income Taxes (25%) Net income $ $ $ 0 0 Current assets Cash Accounts receivable Inventory Total current assets Fixed assets Assets Net plant and equipment Total assets IS Pro Forma Balance Sheet 0 Answer is not complete. 0 Current liabilities Liabilities and Owners' Equity Accounts payable Notes payable Total current liabilities Long-term debt Owners equity Common stock and paid-in surplus Retained earnings Total owner's equity Total liabilities and owners equity 0 0 0 What is the EFN? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g. 32. A negative answer should be indicated by a minus sign.)

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To calculate the External Financing Needed EFN we need to determine the increase in total assets req... View the full answer