Question: help please and thank you only need req. A2 and req. B have a blessed day Clayton Industries has the following account balances. The company

Clayton Industries has the following account balances. The company wishes to raise $33,000 in cash and is considering two financing options; Clayton can sell $33,000 of bonds payable, on it can issue additional common stock for $33,000. To help in the decision process. Clayton's management wants to determine the effects of each alternative on its current ratio and debt-to-assets ratio. Required a-1. Compute the current ratio for Clayton's management. a-2. Compute the debt-to-assets ratio for Clayton's management b. Assume that after the funds are invested, EBIT amounts to $16,000. Also assume the company pays $4,600 in dividends or $4,600 in interest depending on which source of financing is used. Based on a 30 percent tax rate, determine the amount of the increase in retained earnings that would result under each financing option Complete this question by entering your answers in the tobs below. Compute the debt-to assets ratio for Clayton's management. (Round your percentage answers to 1 decimal place.) Clayton Industries has the following account balances. The company wishes to raise $33,000 in cash and is considering two financing options. Clayton can sell $33,000 of bonds payable, or it can issue additional common stock for $33,000. To help in the decision process, Clayton's management wants to determine the effects of each alternative on its current ratio and debt-to-assets ratio. Required o-1. Compute the current ratio for Clayton's management. o-2. Compute the debt-to-assets ratio for Clayton's management. b. Assume that after the funds are invested, EBIT amounts to $16,000. Also assume the company pays $4,600 in dividends or $4,600 in interest depending on which source of financing is used. Based on a 30 percent tax rate, determine the amount of the increase in retained earnings that would result under each financing option. Complete this question by entering your answers in the tabs below. Assume that after the funds are invested, Earr amounts to $16,000. Also assume the cornpany pays $4,600 in dividends or $4,600 in interest depending on which source of finanding is used. Based on a 30 percent tax rate, determine the amount of the increase in retained eamings that would rosult under each financing option. Clayton Industries has the following account balances. The company wishes to raise $33,000 in cash and is considering two financing options; Clayton can sell $33,000 of bonds payable, on it can issue additional common stock for $33,000. To help in the decision process. Clayton's management wants to determine the effects of each alternative on its current ratio and debt-to-assets ratio. Required a-1. Compute the current ratio for Clayton's management. a-2. Compute the debt-to-assets ratio for Clayton's management b. Assume that after the funds are invested, EBIT amounts to $16,000. Also assume the company pays $4,600 in dividends or $4,600 in interest depending on which source of financing is used. Based on a 30 percent tax rate, determine the amount of the increase in retained earnings that would result under each financing option Complete this question by entering your answers in the tobs below. Compute the debt-to assets ratio for Clayton's management. (Round your percentage answers to 1 decimal place.) Clayton Industries has the following account balances. The company wishes to raise $33,000 in cash and is considering two financing options. Clayton can sell $33,000 of bonds payable, or it can issue additional common stock for $33,000. To help in the decision process, Clayton's management wants to determine the effects of each alternative on its current ratio and debt-to-assets ratio. Required o-1. Compute the current ratio for Clayton's management. o-2. Compute the debt-to-assets ratio for Clayton's management. b. Assume that after the funds are invested, EBIT amounts to $16,000. Also assume the company pays $4,600 in dividends or $4,600 in interest depending on which source of financing is used. Based on a 30 percent tax rate, determine the amount of the increase in retained earnings that would result under each financing option. Complete this question by entering your answers in the tabs below. Assume that after the funds are invested, Earr amounts to $16,000. Also assume the cornpany pays $4,600 in dividends or $4,600 in interest depending on which source of finanding is used. Based on a 30 percent tax rate, determine the amount of the increase in retained eamings that would rosult under each financing option
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