Assets-costs-current liabilities are proportional to sales

Assignment Help Financial Management

Reference no: EM131603695

The most recent financial statements for Xporter, Inc., are shown here:

Income Statement Balance Sheet Sales $ 7,600 Current assets $ 4,300 Current liabilities $ 2,200 Costs 6,100 Fixed assets 9,800 Long-term debt 3,750 Taxable income $ 1,500 Equity 8,150 Taxes (34%) 510 Total $ 14,100 Total $ 14,100 Net income $ 990

Assets, costs, and current liabilities are proportional to sales. Long-term debt and equity are not. The company maintains a constant 30 percent dividend payout ratio. As with every other firm in its industry, next year’s sales are projected to increase by exactly 15 percent.

Reference no: EM131603695

Questions Cloud

What is the idea-segment is trying to communicate : In this week's assignment we are going to look at the the influence of the media, sensationalism, and our own ability to think critically about the world.

Discovered that when the required rate of return on bond : You have discovered that when the required rate of return on a bond you own fell by 0.5 percent from 9.7 percent to 9.2 percent,

Windows server 2012 - installation : Perform post-installation settings - Creating a Virtual Box Machine - Selecting the Windows 2012 type will default all the settings to the recommended

Do you think the same words would be said face-to-face : Do you think the same words would be said face-to-face? Have you ever had anyone spread rumors about you or someone you know online?

Assets-costs-current liabilities are proportional to sales : Assets, costs, and current liabilities are proportional to sales. Long-term debt and equity are not.

Discuss the current organizational structure : Each student will write a literature review of NOT more than 2000 words. The review should demonstrate that the student has thoroughly researched their topic.

State your position on the question at issue : Provide an introduction in which you briefly explain the topic and the particular question on which you will focus your paper.

Define the left hand of darkness : Briefly characterize the most important characters I have listed below and explain why they are necessary for the novel The Left Hand Of Darkness

What is the effective interest rate on the loan : Holland Construction Co. has an outstanding 180-day bank loan of $400,000 at an annual interest rate of 9.2%. What is the effective interest rate on the loan?

User Account

All Pages