How many dollars of new funds are needed to finance growth

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Reference no: EM131506748

Owen’s has an aftertax profit margin of 10 percent and a dividend payout ratio of 45 percent. Assets Liabilities and Stockholders' Equity Cash $ 7 Accounts payable $ 20 Accounts receivable 25 Accrued wages 7 Inventory 28 Accrued taxes 13 Current assets $ 60 Current liabilities $ 40 Fixed assets 45 Notes payable 15 Common stock 20 Retained earnings 30 Total assets $ 105 Total liabilities and stockholders' equity $ 10 If sales grow by 20 percent next year, determine how many dollars of new funds are needed to finance the growth.

Reference no: EM131506748

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