The first page includes a sample income statement and balance sheet for the years 2021 and 2022. The second page provides the ratios of the year 2023. A)Use the given the information provided in the first page to calculate it with ratios in order to creat the following for the year 2023: 1- income statement 2- balance sheet 3- cash flow statement B) Based on your initial projections, how much external financing (long-term debt and/or stockholders' equity) will a firm need to fund its growth at projected increases in sales?
The first page includes a sample income statement and balance sheet for the years 2021 and 2022. The second page provides the ratios of the year 2023. A)Use the given the information provided in the first page to calculate it with ratios in order to creat the following for the year 2023: 1- income statement 2- balance sheet 3- cash flow statement B) Based on your initial projections, how much external financing (long-term debt and/or stockholders' equity) will a firm need to fund its growth at projected increases in sales?
College Accounting, Chapters 1-27 (New in Accounting from Heintz and Parry)
22nd Edition
ISBN:9781305666160
Author:James A. Heintz, Robert W. Parry
Publisher:James A. Heintz, Robert W. Parry
Chapter15: Financial Statements And Year-end Accounting For A Merchandising Business
Section: Chapter Questions
Problem 4CE
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Financial Ratios
A Ratio refers to a figure calculated as a reference to the relationship of two or more numbers and can be expressed as a fraction, proportion, percentage, or the number of times. When the number is determined by taking two accounting numbers derived from the financial statements, it is termed as the accounting ratio.
Return on Equity
The Return on Equity (RoE) is a measure of the profitability of a business concerning the funds by its stockholders/shareholders. ROE is a metric used generally to determine how well the company utilizes its funds provided by the equity shareholders.
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The first page includes a sample income statement and balance sheet for the years 2021 and 2022.
The second page provides the ratios of the year 2023.
A)Use the given the information provided in the first page to calculate it with ratios in order to creat the following for the year 2023:
1- income statement
2- balance sheet
3- cash flow statement
B) Based on your initial projections, how much external financing (long-term debt and/or stockholders' equity ) will a firm need to fund its growth at projected increases in sales?
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