Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
An Excel spreadsheet containing R&E Supplies' 2012 pro forma finan- cial forecast as shown in Table 3.5 is available for download at www.mhhe.com/higgins10e. (Select Student Edition > Choose a Chapter > Files.) Using this spreadsheet, the information presented in the following list of figures, and the modified equations determined earlier in question 6, extend the forecast for R&E Supplies contained in Table 3.5 through 2013.
Growth rate in net sales
30.0%
Tax rate
45.0%
Cost of goods sold/net sales
86.0%
Dividend/earnings after tax
50.0%
Gen., sell., & admin.
Current assets/net sales
29.0%
expenses/net sales
11.0%
Net fixed assets
$270
Long-term debt
$560
Current liabilities/net sales
14.4%
Current portion long-term debt
$100
Interest rate
10.0%
a. What is R&E's projected external financing required in 2013? How does this number compare to the 2012 projection?
b. Perform a sensitivity analysis on this projection. How does R&E's projected external financing required change if the ratio of cost of goods sold to net sales declines from 86.0 percent to84.0 percent?
c. Perform a scenario analysis on this projection. How does R&E's projected external financing required change if a severe recession occurs in 2013? Assume net sales decline 5 percent, cost of goods sold rises to 88 percent of net sales due to price cutting, and current assets increase to 35 percent of net sales as management fails to cut purchases promptly in response to declining sales.
1 performing a financial analysis through the use of ratios2 computing the free cash flow for the most recent year for
Prepare a capital statement for the partnership and a stockholders' equity statement for the corpora tion, as of December 31, 19X5.
anti-dilutionso far the founders had looked at cases in which after two years the second round would happen at a
Investors hope that holders of the voting stock will use their power to vote out the company's incompetent management. Would you expect the voting stock to sell for a higher price?
problems1 dive pharmaceuticals has ebit of 485 million in 2013. in addition viking has interest expenses of 190 million
The financial analysis report must be written properly. They must include a title page, a table of contents, and a reference page. For both midterm and final report, information sources from the web, etc. must be cited properly, using APA style.
Steve Bolten sold his sailboat for $225,000. He paid a sales commission of 10 percent to boat brokers, had legal fees of $500, & had additional selling costs of $1,000.
over the past 10 years your 15000 in gold coins has increased in value by 200 percent. you plan to sell these coins
Calculate the following: Current ratio, long-term solvency ratio, contribution ratio, programs and expense ratio, general and management and expense ratio, fund-raising and expense ratio, and revenue and expense ratio for the years 2003 and 2004.
What is meant by an entity's functional currency and what are the economic indicators indentified by the FASB to provide guidance in selecting the functional currency? Why is this an important question?
On January 1, Alan King decided to transfer an amount from his checking account into an investment account that later will provide $ 80,000 to send his son to college (four years from now). The investment account will earn 8 percent, which will be ad..
Multiple choice questions based on time value of money - What is the net change in working capital from 2002 to 2003
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd