The most recent financial statements for Martin, Inc., are shown here: Income Statement Sales $28,000 Costs...

 

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The most recent financial statements for Martin, Inc., are shown here: Income Statement Sales $28,000 Costs -16,800 Taxable income $11,200 Taxes (21%) -2,352 Net income $8,848 Assets Balance Sheet $114,800 Debt Total $114,800 Equity Total $45,000 69,800 $114,800 Assets and costs are proportional to sales. Debt and equity are not. A dividend of $1,060 was paid, and Martin wishes to maintain a constant payout ratio. Next year's sales are projected to be $33,880. What is the external financing needed? (Do not round intermediate calculations. Round your answer to 2 decimal places.) EFN The most recent financial statements for Martin, Inc., are shown here: Income Statement Sales $28,000 Costs -16,800 Taxable income $11,200 Taxes (21%) -2,352 Net income $8,848 Assets Balance Sheet $114,800 Debt Total $114,800 Equity Total $45,000 69,800 $114,800 Assets and costs are proportional to sales. Debt and equity are not. A dividend of $1,060 was paid, and Martin wishes to maintain a constant payout ratio. Next year's sales are projected to be $33,880. What is the external financing needed? (Do not round intermediate calculations. Round your answer to 2 decimal places.) EFN

Answer rating: 100% (QA)

Asset required for next year will be 114800 33880 28000 138580 In... View the full answer