Outlaws Is a General Goods Retail Chain in the High

Outlaws is a general goods retail chain in the High Plains region. Outlaws is forecasting its financial statements for Year 7. Selected financial information for Year 6 is provided in the table. What is long term debt, the plug variable, for the forecasted year? To calculate forecasted current liabilities use the percentage of sales method based on Year 6 figures. Assume that no dividends are paid in Year 7. Selected Financial Information
Outlaws Inc. ($ millions)
$$\begin{array} { | c | c | c | } \hline & \text { Year 6 } & \text { Forecast } \\\hline \text { Revenue } & \$ 29,210 & \$ 30,817 \\\hline \text { Net Income } & \$ 627 & \$ 685 \\\hline \\\hline \text { TOTAL ASSETS } & \$ 14,700 & \$ 14,645 \\\hline \text { LIABILITIES AND } & & \\ \text { STOCKHOLDERS' EQUITY } & & \\\hline \text { Total Current Liabilities } & 3,651 & \\\hline \text { Long Term Debt } & 4,208 & \\\hline \text { Shareholders' Equity } & & \\\hline \text { Common Stock } & 1,192 & 1,192 \\\hline \text { Retained Earnings } & 5,089 & \\\hline \text { Total Shareholders' Equity } & 6,281 & \\\hline \text { Total Liabilities \& } & & \\\text { Shareholders' Equity } & 14,700 & \\\hline\end{array}$$

A) $3,859
B) $3,336
C) $3,827
D) $6,397
E) $10,236