The Tigers Inc.'s sales are forecasted to double from $900 in 2020 to $1800 in 2021 (that is, a 100% ncrease). The 2020 Balance sheet for Tigers Inc., is shown here: 2020 Balance Sheet Cash Account payable Notes payable $ 50 100 Account receivable $ 250 $ 150 Enventories $ $ Long-term debt Common stock 250 $ 400 Net fixed assets 500 150 Retained earnings $ 250 Total assets $ 1,050 Total liabilities and equity $ 1,050 Assume that Tigers' fixed assets were used to 100% capacity and that its current assets were at heir proper levels in relation to sales. Tigers' after-tax profit margin (i.e. NI/ Sales) is forecasted to be 8% and its payout ratio to be 40%. $ 900 $ 1,800 Sales 2020 = Sales 2021 = NI/Sales = Payout ratio = 8% 50% What is Tigers' additional funds needed (AFN) for 2021? Round your answer to the nearest dollar. %24 %24

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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The Tigers Inc.'s sales are forecasted to double from $900 in 2020 to $1800 in 2021 (that is, a 100%
increase). The 2020 Balance sheet for Tigers Inc., is shown here:
2020 Balance Sheet
Cash
$
50
Account payable
$
100
Account receivable
250
Notes payable
$
150
$
$
$
$
$
Inventories
250
Long-term debt
400
Net fixed assets
500
Common stock
150
Retained earnings
250
Total assets
$ 1,050
Total liabilities and equity
2$
1,050
Assume that Tigers' fixed assets were used to 100% capacity and that its current assets were at
their proper levels in relation to sales. Tigers' after-tax profit margin (i.e. NI/ Sales) is forecasted to
be 8% and its payout ratio to be 40%.
$ 900
$ 1,800
Sales 2020 =
Sales 2021 =
NI/Sales =
Payout ratio =
8%
50%
What is Tigers' additional funds needed (AFN) for 2021? Round your answer to the nearest dollar.
Transcribed Image Text:The Tigers Inc.'s sales are forecasted to double from $900 in 2020 to $1800 in 2021 (that is, a 100% increase). The 2020 Balance sheet for Tigers Inc., is shown here: 2020 Balance Sheet Cash $ 50 Account payable $ 100 Account receivable 250 Notes payable $ 150 $ $ $ $ $ Inventories 250 Long-term debt 400 Net fixed assets 500 Common stock 150 Retained earnings 250 Total assets $ 1,050 Total liabilities and equity 2$ 1,050 Assume that Tigers' fixed assets were used to 100% capacity and that its current assets were at their proper levels in relation to sales. Tigers' after-tax profit margin (i.e. NI/ Sales) is forecasted to be 8% and its payout ratio to be 40%. $ 900 $ 1,800 Sales 2020 = Sales 2021 = NI/Sales = Payout ratio = 8% 50% What is Tigers' additional funds needed (AFN) for 2021? Round your answer to the nearest dollar.
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