Answer the following question: a) Will there be any additional investment in the fixed assets required...

 

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Answer the following question: a) Will there be any additional investment in the fixed assets required in 2023 in order for National Sporting Goods Inc. to achieve its financial goal? Please justify. b) Prepare a set of proforma statements for 2023. c) What is the EFN to support 22 percent growth in the above scenario? d) What are possible options when there is deficiency or surplus of EFN based on the calculation in part c)? National Sporting Goods Inc. Statement of Comprehensive Income For the Year ended December 31, 2022 Sales Cost of Sales Other expenses EBIT Interest paid Taxable income Taxes (35%) Net income Dividends Addition to retained earnings $33,735 98,865 $1,139,000 887,000 34,000 $218,000 14,000 $204,000 71,400 $132,600 Answer the following question: a) Will there be any additional investment in the fixed assets required in 2023 in order for National Sporting Goods Inc. to achieve its financial goal? Please justify. b) Prepare a set of proforma statements for 2023. c) What is the EFN to support 22 percent growth in the above scenario? d) What are possible options when there is deficiency or surplus of EFN based on the calculation in part c)? National Sporting Goods Inc. Statement of Comprehensive Income For the Year ended December 31, 2022 Sales Cost of Sales Other expenses EBIT Interest paid Taxable income Taxes (35%) Net income Dividends Addition to retained earnings $33,735 98,865 $1,139,000 887,000 34,000 $218,000 14,000 $204,000 71,400 $132,600