Assume that Jim’s pays out 90% of its net income. Use the percent of sales method to forecast:

a. Stockholders’ equity

b. Accounts payable Use the following income statement and balance sheet for Global Corp.:

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Income Statement Sales Costs Except Depreciation EBITDA Depreciation EBIT Interest Expense (net) Pretax Income Income Tax Net Income 200,000 (100,000) 100,000 (6,000) 94,000 (400) 93,600 (32,760) 60,840 Balance Sheet Assets Cash and Equivalents Accounts Receivable Inventories Total Current Assets Property, Plant, and Equipment Total Assets Liabilities and Equity Accounts Payable Debt Total Liabilities Stockholders' Equity Total Liabilities and Equity 15,000 2,000 4,000 21,000 10,000 31,000 1,500 4,000 5,500 25,500 31,000