Problem 4-1(Algo) Growth and financing [LO4-4] Mr. Miyagi is very excited because sales...
90.2K
Verified Solution
Link Copied!
Question
Finance
Problem Algo Growth and financing LO Mr Miyagi is very excited because sales for his nursery and plant company are expected to double from $ to $ next year. Mr Miyagi notes that net assets Assets Liabilities will remain at percent of sales. His firm will enjoy an percent return on total sales. He will start the year with $ in the bank and is bragging about the Jaguar and luxury townhouse he will buy. a Compute his likely cash balance or deficit for the end of the year. Start with beginning cash and subtract the asset buildup equal to percent of the sales increase and add in profit. Note: Negative amount should be indicated by a minus sign. Ending cash balance b Does his optimistic outlook for his cash position appear to be correct? Yes No 
Problem Algo Growth and financing LO
Mr Miyagi is very excited because sales for his nursery and plant company are expected to double from $ to $ next year. Mr Miyagi notes that net assets Assets Liabilities will remain at percent of sales. His firm will enjoy an percent return on total sales. He will start the year with $ in the bank and is bragging about the Jaguar and luxury townhouse he will buy.
a Compute his likely cash balance or deficit for the end of the year. Start with beginning cash and subtract the asset buildup equal to percent of the sales increase and add in profit.
Note: Negative amount should be indicated by a minus sign.
Ending cash balance
b Does his optimistic outlook for his cash position appear to be correct?
Yes
No
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Best
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.