Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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The most recent financial statements for Williamson, Inc., are shown here (assuming no
income taxes):
Income Statement
Sales
Costs
Net
income
$9,400
6,940
$2,460
Balance Sheet
Assets $19,050 Debt
Equity
$ 6,050
13,000
External financing needed
Total $19,050 Total $19,050
Assets and costs are proportional to sales; debt and equity are not. No dividends are
paid. Next year's sales are projected to be $11,280.
What is the external financing needed? (Do not round intermediate calculations and
round your answer to the nearest whole dollar amount, e.g., 32.)
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Transcribed Image Text:The most recent financial statements for Williamson, Inc., are shown here (assuming no income taxes): Income Statement Sales Costs Net income $9,400 6,940 $2,460 Balance Sheet Assets $19,050 Debt Equity $ 6,050 13,000 External financing needed Total $19,050 Total $19,050 Assets and costs are proportional to sales; debt and equity are not. No dividends are paid. Next year's sales are projected to be $11,280. What is the external financing needed? (Do not round intermediate calculations and round your answer to the nearest whole dollar amount, e.g., 32.)
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