How much discretionary Financing needed by Ford in 2021?
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Ford has the following information related to 2020: 2020 2021 - Sales $1,000,000 $1,200,000 - Current Assets 350,000. 35% 420,000 - Long-Term Assets 650,000 65% 780,000 - Current Liabilities 120,000 12% 144,000 - Long-Term Liabilities 280,000 N/A - Common Stocks 550,000. N/A -
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- Ford has the following information related to 2020: Sales $1,000,000 Current Assets 350,000 Long-Term Assets 650,000 Current Liabilities 120,000 Long-Term Liabilities 280,000 Common Stocks 550,000 Retained Earnings 50,000 Sales are expected to grow by 20% next year with expected Net Profit Margin 20% and Dividends layout 60% Required: How much discretionary Financing needed by Ford in 2021? What are the least expensive sources to get it?s Abbreviated financial statements for Archimedes Levers are shown in the table below. Assume sales and expenses increase by 19% in 2022 and all assets and liabilities increase correspondingly. Income Statement Sales Costs, including interest Net Income Net assets Total $ 5,800 4,400 $1,400 Balance Sheet, Year-End. 2020 2021 $4,901 $4,500 $4,901 $4,500 a. Maximum possible growth rate b. Maximum possible growth rate Debt Equity Total 2021 $ 2,001 2,900 $4,901 2020 $1,933 2,567 $4,500 a. If the payout ratio is set at 55% and no external debt or equity is to be issued, what is the maximum possible growth rate for Archimedes? b. If the payout ratio is set at 55% and the firm maintains a fixed debt ratio but issues no equity, what is the maximum possible growth rate for Archimedes? Note: For all requirements, do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.The 2Ball's Co's sales are forecasted to double from P1,000,000 in 2020 to P2,000,000 in 2021. The figures in the Dec. 31,2020, balance sheet (in thousands) follows: Current Assets, P500; Net Fixed Assets, P500; Accounts Payable and Accruals, P100; Notes Payable, P150; Long-term debt, P400; Common Stock, P100; Retained Earnings, P250. The 2Balls fixed assets were used to only 50% of capacity in 2020, but its current assets were at their proper level in relation to sales. All assets except fixed assets must increase in the same rate as sales and fixed assets would also have to increase at the same rate if the current excess capacity did not exist. 2Balls' after tax profit margin is forecasted to be 5% and its payout ratio to be 60%. What is 2Balls Co.'s additional fund needed (AFN) for the coming year?
- Harvey manufacturing company expected in 2021 to have 18% increase in sales compared to 2020 sales of P850,000. The company projects a 15% net profit margin by the end of 2021. Twenty five percent of the net profit margin will be returned to the shareholders in the form of dividends. How much, in total, must be added to the beginning retained earnings? P150,450.00 $153,000.00 P37,612.50 P112,837.50The Tigers Inc.'s sales are forecasted to double from $900 in 2020 to $1800 in 2021 (that is, a 100% increase). The 2020 Balance sheet for Tigers Inc., is shown here: 2020 Balance Sheet Cash $ 50 Account payable $ 100 Account receivable 250 Notes payable $ 150 $ $ $ $ $ Inventories 250 Long-term debt 400 Net fixed assets 500 Common stock 150 Retained earnings 250 Total assets $ 1,050 Total liabilities and equity 2$ 1,050 Assume that Tigers' fixed assets were used to 100% capacity and that its current assets were at their proper levels in relation to sales. Tigers' after-tax profit margin (i.e. NI/ Sales) is forecasted to be 8% and its payout ratio to be 40%. $ 900 $ 1,800 Sales 2020 = Sales 2021 = NI/Sales = Payout ratio = 8% 50% What is Tigers' additional funds needed (AFN) for 2021? Round your answer to the nearest dollar.Intro The whole year income statement and end of year balance sheet numbers are provided for 2020. As CFO, you are to forecast 2021 numbers (blank column) based on the following assumptions: Income Balance sheet statement ($ million) ($ million) Current Sales 1,000 420 Debt 630 assets Fixed Costs 850 1,680 Equity 1,470 ? assets Net Total 150 2,100 Total 2,100 income assets Sales, assets and costs are expected to grow by 15% in 2021. The company is expected to pay NO dividend in 2021, and will keep the debt balance unchanged. Part 1 - Attempt 1/2 for 10 pts. In the forecast, which of the following financial ratios are assumed unchanged throughout 2020-2021? Must select ALL to earn points. Check all that apply: O debt-equity ratio O profit margin total asset turnover O ROE O gross profit margin accounts receivable turnover
- Farnsbeck Inc. is forecasting a 15% increase in sales next year. Assume the company is operating at 85% capacity. The company has 50,000 shares of common stock outstanding. The firm will pay out 60% of its Net Income in dividends and move 40% into retained earnings Based on the Income statement and balance sheet below answer the following questions. ASSETS 2020 2019 ASSETS 2020 2019 CASH AND MARKETABLE SECURITIES ACCOUNTS RECEIVABLE INVENTORIES 25,000 116,000 100,000 145,000 125,000 290,000 250,000 362,000 350,000 29,000 CURRENT ASSETS GROSS PLANT AND EQUIPMENT 130,000 100,000 232,000 250,000 TOTAL ASSETS 522,000 500,000 LESS: ACCUMULATED DEPRECIATION NET FIXED ASSETS LIABILITIES AND EQUITY 90,480 78,000 ACCOUNTS PAYABLE ACCRURALS NOTES PAYABLE 30,000 34,000 CURRENT LAIBILITIES 150,700 142,000 145,000 140,000 TOTAL LIABILITIES 295,700 282,000 150,000 150,000 34,800 25,420 LONG TERM DEBT COMMON STOCK ($1.00 par) 76,300 68,000 RETAINED EARNINGS TOTAL OWNER'S EQUITY 226,300 218,000 TOTAL…Farnsbeck Inc. is forecasting a 15% increase in sales next year. Assume the company is operating at 100% capacity. The company has 50,000 shares of common stock outstanding. The firm will pay out 60% of its Net Income in dividends and move 40% into retained earnings Based on the Income statement and balance sheet below answer the following questions. ASSETS 2020 2019 ASSETS 2020 2019 CASH AND MARKETABLE SECURITIES ACCOUNTS RECEIVABLE INVENTORIES 29,000 25,000 116,000 100,000 145,000 125,000 290,000 250,000 362,000 350,000 CURRENT ASSETS GROSS PLANT AND EQUIPMENT LESS: ACCUMULATED DEPRECIATION 130,000 100,000 232,000 250,000 NET FIXED ASSETS TOTAL ASSETS 522,000 500,000 LIABILITIES AND EQUITY 90,480 34,800 25,420 CURRENT LAIBILITIES 150,700 142,000 145,000 140,000 TOTAL LIABILITIES 295,700 282,000 150,000 150,000 78,000 ACCOUNTS PAYABLE ACCRURALS NOTES PAYABLE 30,000 34,000 LONG TERM DEBT COMMON STOCK ($1.00 par) RETAINED EARNINGS 76,300 68,000 TOTAL OWNER'S EQUITY 226,300 218,000 TOTAL…A firm has the following accounts and financial data for 2020: Sales = 30000 Cost of goods sold = 3000 Accounts payable = 500 Accounts receivables = 100 Number of shares of Common stocks = 1000 Preferred stock dividends = 95 operating expenses = 700 Interest expense=200 Tax rate = 25% Current liability = 1000 PRICE IS 7 What is the firm's earnings available to common shareholders for 2020? WHAT IS THE P/E RATIO? WHAT IS THE EPS
- Sales for Company Y are $100,000 in 2019 and the net profit margin is 9.0%. The Return on Equity is 20%. What is the dollar value of Equity. $ 18,000 $ 45,000 $ 90,000 $ 444,444Given the following information, if the firm wants to grow sales by 70% next year, and it is operating at 80% capacity, what is the additional funds using the AFN equation? Liabilities and Equity Assets 2023 Cash & sec. 100 Accounts payable & accruals Accounts rec. 300 Notes payable 2023 250 200 Inventories 500 Total CA 900 Total CL 450 L-T debt 600 Common stock 300 Net fixed Assets 700 Retained Earnings 250 Total assets 1600 Total claims 1600 Income Statement 2023 Sales 3000 Less: COGS (60%) 1800 SGA costs (20%) 600 EBIT 600 Interest (at 10%) 80 EBT 520 Taxes (40%) 208 Net income 312 Dividends (20%) 62 Add'n to RE 250 POR 20%Suppose a firm has had the following historic sales figures. Year: 2016 2017 2018 2019 Sales $1,480,000 $1,680,000 $1,580,000 $2,070,000 2020 $1,900,000 What would be the forecast for next year's sales using FORECAST.ETS to estimate a trend? Note: Round your answer to the nearest whole dollar. Next year's sales