Question: Berea Resources is planning a $ 7 5 million capital expenditure program for the coming year. Next year, Berea expects to report to the IRS
Berea Resources is planning a $ million capital expenditure program for the coming year. Next year, Berea expects to report to the IRS earnings of $ million after interest and taxes. The company presently has million shares of common stock issued and outstanding. Dividend payments are expected to increase from the present level of $ million to $ million. The company expects its current asset needs to increase from a current level of $ million to $ million. Current liabilities, excluding shortterm bank borrowings, are expected to increase from $ million to $ million. Interest payments are $ million next year, and longterm debt retirement obligations are $ million next year. Depreciation next year is expected to be $ million on the companys financial statements, but the company will report depreciation of $ million for tax purposes.
How much external financing is required by Berea for the coming year? Enter your answer in millions. For example, an answer of $ million should be entered as not Round your answer to the nearest whole number.
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