Problem 16.01 – Carlsbad Corporation
Fundamentals of Financial Management, Concise
Brigham and Houston
09th Edition and 10th Edition
Use the AFN equation to forecast the additional funds Carlsbad will need.
Use the AFN equation to forecast the additional funds Carlsbad will need.
Use the AFN equation to predict the additional funds needed for the coming year.
What additional funds would be needed for the coming year given that the firm doesn’t pay dividends?
Calculate the projected net income and expected growth in dividends.
Calculate the potential sales at full capacity, determine Williamson’s target fixed assets sales ratio, and find the increase in fixed assets required to meet the target, given a capacity utilization and an increase in sales.
What are the year-end inventory and inventory turnover for Jasper?
What will be the forecast for Roberts’ year-end net income?
Determine total liabilities and new long-term debt financing needed.
How large of a sales increase can the company achieve without having to raise funds externally?
Determine the year-end balance for receivables and its year-end days sales outstanding (DSO) ratio.