The 2014 financial statements for Growth Industries are presented here Sales and costs in 2015 are projected to be 20 higher than in 2014 Both current assets and accounts payable are projected to rise in proportion to sales The firm is currently operating at full capacity, so it plans to increase l...

2013 Income Statement assuming 20 sales growth Sales 240000 Costs 180000 EBIT 60000 Int ...

The 2014 financial statements for Growth Industries are presented here. Sales and costs in 2015 are projected

Question:

The 2014 for Growth Industries are presented here. Sales and costs in 2015 are projected to be 20% higher than in 2014. Both current assets and are projected to rise in proportion to sales. The firm is currently operating at full capacity, so it plans to increase long-term assets in proportion to sales. What external financing will be required by the firm? Interest expense in 2015 will equal 10% of long-term debt outstanding at the start of the year. The firm will maintain a payout ratio of .4.
Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial... Accounts Payable
Accounts payable (AP) are bills to be paid as part of the normal course of business.This is a standard accounting term, one of the most common liabilities, which normally appears in the balance sheet listing of liabilities. Businesses receive... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...