Daniel Sawyer, the CEO of the Sawyer Group, is initiating planning for the company's operations next year, and he wants you to forecast the firm's additional funds needed (AFN). The firm is operating at full capacity. Data for use in your forecast are shown below. Based on the AFN equation, what is the AFN (in millions of dollars) for the coming year? Dollars are in millions.

Last year's sales = S0	$339	Last year's accounts payable	$42
Sales growth rate = g	37%	Last year's notes payable	$51
Last year's total assets = A0*	$523	Last year's accruals	$41
Last year's profit margin = PM	8%	Target payout ratio	53%

Answer rating: 100% (QA)

Calculating Additional Funds Needed AFN for the Sawyer Group Heres how to calculate the AFN for the ... View the full answer