Determine the balance in retained earnings at the end

Assignment Help Financial Management

Reference no: EM132031427

TNT Inc. reports the following in its 2016 financial statements (in millions):

Sales 5,045.4

Net income 627.5

Dividends paid 125.5

Retained earnings 9,284.3

Sales and net income are forecasted to grow by 6% per year for the next few years.

a. What will forecasted sales be in 2017 and 2018?

b. Determine the balance in retained earnings at the end of 2017 and 2018 assuming forecasted net income is $702.3 million for 2017 and $758.2 million for 2018.

Reference no: EM132031427

Questions Cloud

Discuss the importance of cash flows to the capital markets : Discuss the importance of cash flows to the capital markets. Discuss how uncertainty is related to earnings quality

What is the firms cost of debt before tax : Titan Mining Corporation has $588,000,000 market value of common stock and $220,000,000 market value of bonds. It pays 10% annual coupon.

Find the total vertical distance the ball travels : The height of each bounce is three-fourths the height of the previous bounce. Find the total vertical distance the ball travels before coming to rest.

How much money will you have in three years : Today you make a single deposit in your savings account of $1966. The bank's interest rate is 10% APR, compounded monthly.

Determine the balance in retained earnings at the end : Determine the balance in retained earnings at the end of 2017 and 2018 assuming forecasted net income is $702.3 million for 2017 .

What do you do make money as a speculator : You are a speculator in corn futures, always purchasing 5 contracts when you transact.

Maximum area possible for the rectangular part : A sports field is to have the shape of a rectangle with semi-circles put on the two ends. It must have a perimeter of 1300 meters.

Find the present value of the all future cash dividends : Today the Gamma Corporation has just paid an annual dividend of $2 per share. You expect the annual dividends to grow at a constant rate of 3% forever.

Coordinates of the image : A triangle has vertices of (0,2), (3,0), (0, -3). If it is dilated with center at the origin, and a scale factor of 2, what will be the coordinates of the image

User Account

All Pages