Given the financial statements below for Dragonfly Enterprises,what is the external financing need for...

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Accounting

Given the financial statements below for Dragonfly Enterprises,what is the external financing need for a pro forma increase insales of 18% if the firm is operating at 90% capacity? Enter youranswer as the nearest whole (e.g., 123), but do not include the $sign.

Dragonfly Enterprises
Income Statement ($ Million)
2011
Sales
370
Cost of Goods Sold
226
Selling, General, & Admin Exp.
62
Depreciation
20
Earnings Before Interest & Taxes
62
Interest Expense
12
Taxable Income
50
Taxes at 40%
20
Net Income
30
Dividends
9
Addition to Retained Earnings
21
Balance Sheets as of 12-31
Assets
2010
2011
Cash
10
10
Account Receivable
46
50
Inventory
43
45
Total Current Assets
99
105
Net Fixed Assets
166
195
Total Assets
265
300
Liabilities and Owners Equity
2010
2011
Accounts Payable
26
30
Notes Payable
0
0
Total Current Liabilities
26
30
Long-Term Debt
140
150
Common Stock
22
22
Retained Earnings
77
98
Total Liab. and Owners Equity
265
300

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ANSWER Calculation of external financing needed for a pro forma increase in sales of 18 if the company is operating at 90 capacity External financing needed Increase in Fixed assets Increase in current assets Increase in spontaneous See Answer

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In: AccountingGiven the financial statements below for Dragonfly Enterprises,what is the external financing need for a...Given the financial statements below for Dragonfly Enterprises,what is the external financing need for a pro forma increase insales of 18% if the firm is operating at 90% capacity? Enter youranswer as the nearest whole (e.g., 123), but do not include the $sign. Dragonfly EnterprisesIncome Statement ($ Million)2011Sales370Cost of Goods Sold226Selling, General, & Admin Exp.62Depreciation20Earnings Before Interest & Taxes62Interest Expense12Taxable Income50Taxes at 40%20Net Income30Dividends9Addition to Retained Earnings21Balance Sheets as of 12-31Assets20102011Cash1010Account Receivable4650Inventory4345Total Current Assets99105Net Fixed Assets166195Total Assets265300Liabilities and Owners Equity20102011Accounts Payable2630Notes Payable00Total Current Liabilities2630Long-Term Debt140150Common Stock2222Retained Earnings7798Total Liab. and Owners Equity265300

Dragonfly Enterprises
Income Statement ($ Million)		2011

Sales		370
Cost of Goods Sold		226
Selling, General, & Admin Exp.		62
Depreciation		20
Earnings Before Interest & Taxes		62
Interest Expense		12
Taxable Income		50
Taxes at 40%		20
Net Income		30
Dividends		9
Addition to Retained Earnings		21

Balance Sheets as of 12-31
Assets	2010	2011
Cash	10	10
Account Receivable	46	50
Inventory	43	45
Total Current Assets	99	105
Net Fixed Assets	166	195
Total Assets	265	300

Liabilities and Owners Equity	2010	2011
Accounts Payable	26	30
Notes Payable	0	0
Total Current Liabilities	26	30
Long-Term Debt	140	150
Common Stock	22	22
Retained Earnings	77	98
Total Liab. and Owners Equity	265	300