Anonymous
Anonymous asked in Business & FinancePersonal Finance · 3 weeks ago

For the next fiscal​ year, you forecast net income of ​$48,400 and ending assets of ​$503,300. Your​ firm's payout ratio is 10.2​%. Your b?

For the next fiscal​ year, you forecast net income of ​$48,400 and ending assets of ​$503,300. Your​ firm's payout ratio is 10.2​%. Your beginning​ stockholders' equity is ​$296,500​, and your beginning total liabilities are ​$122,100. Your​ non-debt liabilities such as accounts payable are forecasted to increase by ​$10,300. Assume your beginning debt is ​$102,100. What amount of equity and what amount of debt would you need to issue to cover the net new financing in order to keep your​ debt-equity ratio​ constant?

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