Simplified financial statements for fire corporation

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Reference no: EM131817487

Consider the following simplified financial statements for the Fire Corporation (assuming no income taxes): Income Statement Balance Sheet Sales $ 47,300 Assets $ 24,900 Debt $ 6,900 Costs 40,670 Equity 18,000 Net income $ 6,630 Total $ 24,900 Total $ 24,900 The company has predicted a sales increase of 20 percent. Assume Fire pays out half of net income in the form of a cash dividend. Costs and assets vary with sales, but debt and equity do not. Prepare the pro forma statements. (Round your answers to the nearest whole dollar amount.) Pro forma income statement Pro forma balance sheet Sales $ 56760 Assets $ 29880 Debt $ 6900 Costs 48804 Equity Net income $ 7956 Total $ 29880 Total $ Determine the external financing needed. (Negative amount should be indicated by a minus sign.) External financing needed $

Reference no: EM131817487

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