Question: Tozer Computers makes bulk purchases of small computers, stocks them in conveniently- located warehouses, and ships them to its chain of retail stores. Tozer's balance
Tozer Computers makes bulk purchases of small computers, stocks them in conveniently- located warehouses, and ships them to its chain of retail stores. Tozer's balance sheet as of December 31, 20x1, is shown here (millions of dollars): 3. $ 9.0 Accounts payable Notes payable Accruals S 3.5 Cash 18.0 Accounts Receivable Inventory Total current assets $87.5 Net fixed assets 26.0 58.0 8.5 $ 35.5 Total current liabilities 6.0 Mortgage loan 35.0 15.0 Common stock Retained earnings Total liabilities and equity 66.0 $122.5 $122.5 Total assets Sales for 20x1 were $350 million, while net income for the year was $10.5 million. Tozer paid dividends of $4.2 million to common stockholders. The company is not operating at full capacity. Assume that all ratios remain constant projected to increase by $70 million, equation to determine Tozer's projected external capital requirements. or 20 percent, during 20x2, use the EFR If sales are
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