1. What is the year 3 AFN per balance sheet
2. What is year 3 AFN using equation formula
3. What is the max internal growth rate
4. What is the max sustainable growth rate

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Revenue Cost of Goods Sold SG&A Depreciation Expense EBIT Interest expenses Earnings before taxes Income taxes Net Income ASSETS Total current assets Property, plant and equipment Intangible assets Total Assets LIABILITIES & STOCKHOLDERS' EQUITY Total current liabilities Long-term debt Total Liabilities Stockholders' Equity Common Stock Retained earnings Total Stockholders' Equity Total Liabilities & Stockholders' Equity Year 1 4,613 2,572 7,185 Year 2 1,493 2,667 4,160 11,345 5,805 3,293 1,493 194 825 Year 2 2,666 2,903 1,907 1,764 6,772 4,220 11,345 8,887 45 780 34 746 3,378 1,971 5,349 1,038 2,500 3,538 8,887 year 3 4,220 1,038 sales growth Cost of Goods Sold/Sales SG&A/Sales Depreciation/Sales Interest/Sales Tax/Earnings Before Taxes Current Assets/Sales Property, Plant & Equipment/Sales Current Liabilities/Sales 0.19 0.56727 0.257192 0.033419 0.007752 0.04359 0.500086 0.303876 0.581912 Revenue Cost of Goods Sold SG&A Depreciation Expense EBIT Interest expenses Earnings before taxes Income taxes Net Income ASSETS Total current assets Property, plant and equipment Intangible assets Total Assets LIABILITIES & STOCKHOLDERS' EQUITY Total current liabilities Long-term debt Total Liabilities Stockholders' Equity Common Stock Retained earnings Total Stockholders' Equity Total Liabilities & Stockholders' Equity Year 1 4,613 2,572 7,185 Year 2 1,493 2,667 4,160 11,345 5,805 3,293 1,493 194 825 Year 2 2,666 2,903 1,907 1,764 6,772 4,220 11,345 8,887 45 780 34 746 3,378 1,971 5,349 1,038 2,500 3,538 8,887 year 3 4,220 1,038 sales growth Cost of Goods Sold/Sales SG&A/Sales Depreciation/Sales Interest/Sales Tax/Earnings Before Taxes Current Assets/Sales Property, Plant & Equipment/Sales Current Liabilities/Sales 0.19 0.56727 0.257192 0.033419 0.007752 0.04359 0.500086 0.303876 0.581912

Answer rating: 100% (QA)

To calculate the additional funds needed AFN the maximum internal growth rate and the maximum sustainable growth rate we need to use the given financi... View the full answer