Question: need help with #4 part a,b,c any dividends and does hol expiu A. What would be your estimate of the additional fiha crease in sales?

any dividends and does hol expiu A. What would be your estimate of the additional fiha crease in sales? B. How would your answer in Part A change if the expected sales growth were only 15 percent? 20 percent increase in sales for 2017 over its 2016 level. Minoso is currently operating at full anticipates 4. Sustainable Sales Growth Rates and Additional Funds Needed] The Minoso Corporation anti thus expects to increase its investment in both current and fixed assets in order to suppor increase in forecasted sales. and thus ex MINOSO CORPORATION INCOME STATEMENT FOR DECEMBER 31, 2016 (THOUSANDS OF DOLLARS) Sales Operating expenses EBIT Interest EBT Taxes {40%) Net income Cash dividends (40%) Added retained earnings $15,000 13,000 2,000 400 1,600 640 960 384 S 576 BALANCE SHEET AS OF DECEMBER 31, 2016 (THOUSANDS OF DOLLARS) Cash Accounts receivable Inventories $ 1,000 2,000 2,200 Accounts payable Bank Loan Accrued liabilities 1,600 1,800 1,200 Total current liabilities 4,60 2,200 2,400 2,800 Total liabilities & equity $12,000 Total current assets Long-term debt Common stodk Retained eamings Fixed assets, net Total assets 6,800 12,000T A. Estimate Minoso's sustainable sales growth rate based on the financial data relationships for 2016. In making your estimate, calculate each component of the firm's operating performance and financial policies. B. Estimate the additional funds needed (AFN) for 2017 using the formula or equation method. Chapter 9 Projecting Financial Statements 347 differences in calculation assumptions between the sustainable growth rate a Brietly describe tional funds needed models. C. nd addi
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