Solved

Assets, Accounts Payable and Costs Are Proportional to Sales

Question 97

Multiple Choice

Assets, accounts payable and costs are proportional to sales. Debt and equity are not. Sales of Wintergreen, Inc. are expected to increase by 6% next year. Wintergreen is currently operating at maximum capacity. Wintergreen has a 20% dividend payout ratio. What is the external financing need? A) -$196 B) -$161 C) $161 D) $196 E) $279 Assets, accounts payable and costs are proportional to sales. Debt and equity are not. Sales of Wintergreen, Inc. are expected to increase by 6% next year. Wintergreen is currently operating at maximum capacity. Wintergreen has a 20% dividend payout ratio. What is the external financing need? A) -$196 B) -$161 C) $161 D) $196 E) $279 Assets, accounts payable and costs are proportional to sales. Debt and equity are not.
Sales of Wintergreen, Inc. are expected to increase by 6% next year. Wintergreen is currently operating at maximum capacity. Wintergreen has a 20% dividend payout ratio. What is the external financing need?


A) -$196
B) -$161
C) $161
D) $196
E) $279

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q92: ABC, Inc. is operating at full capacity

Q93: Kurt's Adventures is operating at full capacity

Q94: Andrew's Specialty Store has sales of $200,000,

Q95: Assume costs, assets,</p></div><svg width=

Q96: Assume costs, accounts</p></div><svg width=

Q98: Given the following information: current assets =

Q99: Pickup Industries has a profit margin of

Q100: What</p></div><svg width=

Q101: </p></div><svg width=

Q102: Given the following information: sales = $450;

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents