Reference no: EM132554940
East Coast Yachts Inc. Balance Sheet (2018-12-31) Assets ($) Cash = 3,042,000
Accounts receivable = 5,473,000
Investment = 6,136,000
Net Fixed Assets = 93,964,000
Total = 108,615,000
Liabilities ad Equity ($)
Accounts Payable = 2,190,000
N/P = 2,694,000
Long term debt = 38,000,000
Common stock = 5,000,000
Retained Earnings = 60, 731, 000
Total = 108,615,000
You also have the following additional information:
Sales in 2019 is expected to grow by 8%
NFA in 2019 will only grow at 4%
All other spontaneous CA and CL will grow at the same rate as sales
Cash at end of 2019 is to be increased by $ 1,000,000 compared to end of 2018
Retained earnings made at end of 2019 is expected to be $ 1,500,000
The 2018 L-T-D/ TE ratio is optimal and should be maintained
What will be the expected Total Asset value at end of 2019?
What will be the expected Total Bank Loan (N/P) at the end of 2019?
What will be expected Total Common Shares value at the end of 2019?
How much additional long term debt in 2019 you will need to issue to finance the purchase of additional fixed assets?