Broussard additional funds needed for the coming year

Assignment Help Finance Basics
Reference no: EM132364656

Broussard Skateboard's sales are expected to increase by 25% from $9.0 million in 2016 to $11.25 million in 2017. Its assets totaled $4 million at the end of 2016. Broussard is already at full capacity, so its assets must grow at the same rate as projected sales. At the end of 2016, current liabilities were $1.4 million, consisting of $450,000 of accounts payable, $500,000 of notes payable, and $450,000 of accruals. The after-tax profit margin is forecasted to be 4%, and the forecasted payout ratio is 55%. Use the AFN equation to forecast Broussard's additional funds needed for the coming year. Round your answer to the nearest dollar. Do not round intermediate calculations.

Reference no: EM132364656

Questions Cloud

What is the present value of that concert : If the agent uses a discounted rate of 4% compounded quarterly, what is the present value of that concert?
How do you think small businesses should be defined : Based on Forbes column from the readings list and any other resources you would like to consult, how do you think small businesses should be defined?
How much would the genius grant be worth by then : The MacArthur Fellowship is a $500,000 grant, no-strings attached, paid to talented individuals who have shown extraordinary originality and dedication
Worldwide demand for quality driven concept of innovation : You may use your own organization as an example. How has the worldwide demand for quality driven the concept of innovation?
Broussard additional funds needed for the coming year : Use the AFN equation to forecast Broussard's additional funds needed for the coming year. Round your answer to the nearest dollar.
How do you calculate the present value of an annuity : How do you calculate the present value of an annuity? A perpetuity? A growing perpetuity? Which would you prefer?
Discussing partnering-developing a customer focus : You will discuss how a company begins to build a culture of total quality management by discussing partnering, developing a customer focus,
Create a diagram for a better approach for compliance : Proper network design provides for compliant security, not only isolating users and their traffic, but also preventing attackers from easily traversing.
Write a MARIE program that accepts an integer from the user : Assignment - Computers, Data and Programming - Write a MARIE program that accepts an integer from the user, and if it is prime number the program will output 1

Reviews

Write a Review

Finance Basics Questions & Answers

  Total annualized return of stocks

According to Standard & Poor's data, total annualized return of stocks from 1926 through 2013 was 9.9%. With the potential for those returns

  Given the following information for the two stocks

Given the following information for the two stocks: Stock Expected Return Standard

  The company then expects to settle down to a

givens inc. is a fast growing technology company that paid a 1.25 dividend last week. the companys expected growth

  Appropriate cost of capital

The investment will cost you $ 5,985 today. If the appropriate Cost of Capital (quoted interest rate) is 8.9 %, what is the Net Present Value of the investment?

  Calculate the amount to be reported for ending inventory

Powder Ski Shop reports inventory using lower-of-cost-or-market. Below is information related to its year-end inventory.

  Identify positions related to function of a finance investor

In the Finance Industry, make a Web search and identify business fields in which different positions exist for that function. Identify at least 5 positions related to the function of a finance investor.

  What will carol profit be on the stock transaction

a. What will Carol's profit be on the stock transaction if its price does rise to $70 and she sells?

  Calculate the dealer''s maturity gap

Calculate the dealer's maturity gap. Assume 360 days in a year.  How can the dealer reduce the interest rate exposure of its portfolio? Be specific.

  What are some of the basic requirements of a successful

What are some of the basic requirements of a successful turnaround plan?

  Find the value of firm

Delta software was discovered last year to develop software for gaming applications. The founder initially invested $800,000 and received eight million shares of stock.

  The insurance company recovered 8000 describe how the

the abc company had crime coverage in the amount of 5000. following a covered crime loss of 10000. the insurance

  What is the variable cost per unit

Night Shades Inc. (NSI) manufactures biotech sunglasses. The variable materials cost is $10.80 per unit, and the variable labor cost is $6.70 per unit.

Free Assignment Quote

Assured A++ Grade

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd