Question: 8. Projected financial statements and basic analysis You are the most creatlve analyst for Black Sheep Broadcasting Company, and your admirers want to see you

8. Projected financial statements and basic analysis You are the most creatlve analyst for Black Sheep Broadcasting Company, and your admirers want to see you work your analytical magic once more. Which of the following are assumptions made by the initial income statement forecast? Check all that apply. The assigned depreclation method has changed. No additional external financing will be required. Additional external financing will be required by Black Sheep Broadcasting Company The facllity is not currently operating at full capacity. The facllity is currently operating at full capacity. The forecasted increase in net sales is 50%. Which of the following could be a direct cause of financing feedback? 1. Issuing additional common stock II. Purchasing additional bulldings with Internally generated funds III. An unexpected Increase in sales IV. Borrowing from the bank [ III III and IV II II and IV IV I and IV I and II What is one of the potentlal consequences of financing feedback that might cause the actual financing needs to be higher than initially thought? Financing feedback might reduce the level of cash on hand. spontaneously increase llabilitles assoclated with the cost of goods sold. Increase the length of the operating cycle. Increase charges against net income, reducing the amount of avallable intemally generated funds
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