Question: Oscar's Incredible Eatery ($ thousands) Income Statement for the year ending Dec. 31, 2017 Net sales 17,300 Cost of goods sold 10,600 Depreciation 3,250

Oscar's Incredible Eatery ($ thousands) Income Statement for the year ending Dec.31, 2017 Net sales 17,300 Cost of goods sold 10,600 Depreciation 3,250

Oscar's Incredible Eatery ($ thousands) Income Statement for the year ending Dec. 31, 2017 Net sales 17,300 Cost of goods sold 10,600 Depreciation 3,250 Earnings before interest and taxes 3,450 Interest expense 680 Earnings before tax 2,770 Tax 940 Earnings after tax 1,830 Dividends 450 Oscar's Incredible Eatery ($ thousands) Balance Sheet as of Dec. 31, 2017 Cash 350 Accounts payable 1,920 Accounts receivable 940 Long-term debt 3,500 Inventory 2,360 Common stock 7,500 Total current assets 3,650 Retained earnings 1,580 Net fixed assets Total assets 10,850 14,500 Total liab. & equity 14,500 Please refer to Oscar's financial statements above. All of Oscar's costs and current asset accounts vary directly with sales. Sales are projected to increase by 10 percent. What is the pro forma accounts receivable balance for next year?

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!