Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. consider the following simplified financial statem

Consider the following simplified financial statements (assuming no income tax): Income...

60.1K

Verified Solution

Question

Finance

Consider the following simplified financial statements (assuming no income tax):

Income Statement Balance Sheet
Sales $39,200 Assets $21,600 Debt $6,600
Costs 32,650 Equity 15,000
Net Income 6,550 Total 21,600 Total 21,600

The company has predicted a sales increase of 16%.

It has predicted that every item on the income statement and balance sheet will increase by 16% as well.

Create the pro forma statements and answer the following:

For the balance sheet reconciliation, assume that dividends are the plug variable.

What will be the amount of dividends paid?

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

f x x x 2 x 1 wer the questions regarding the graph of f...

Basic Math
Q

A probability experiment is conducted in which the sample space of the experiment is {1, 2,...

Statistics
Q

It is believed that standardized test scores, such as SAT, is a good predictor of first-year...

Statistics
Q

Elemental S reacts with O2 to form SO3 according to the reaction 2S+3O2→2SO3 A) How many O2 molecules...

Chemistry
Q

A facility that manufactures fireworks has a large increase in production every June, such that their...

Mechanical Engineering
Q

Two planes leave an airport at the same time Their speeds are 130 miles per...

Basic Math
Q

Graph each function Lable all asymptotes lable any x y intercepts 4 x 2 22...

Calculus
Q

The point (5, pi/4) can also be represtend by which of the following polar coordinates?...

Algebra
Q

7 10 Correct Answer HUNTER FINDLEY The distance that a free falling object falls is...

Algebra
Q

Beckenworth had cost of goods sold of $9,421 million, ending inventory of $2,089 million, and...

Accounting
Q

The trial balance of the Economic Development Special Revenue Fund has beginning balances are debits...

Accounting
Q

Required information [The following information applies to the questions displayed below.] A process manufacturer reports...

Accounting