1. Business
  2. Accounting
  3. consider the following income statement for the heir jordan corporation...

Question: consider the following income statement for the heir jordan corporation...

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Consider the following income statement for the Heir Jordan Corporation HEIR JORDAN CORPORATION Income Statement Sales Costs $43,800 34,800 Taxable income Taxes (21%) $9,000 1,890 Net income $ 7110 Dividends Addition to retained $2,518 4,592 earnings The balance sheet for the Heir Jordan Corporation follows HEIR JORDAN CORPORATION Balance Sheet Assets Liabilities and Owners Equity Current assets Current liabilities $ 2,700 Accounts payable $ 2,400 Cash Accounts receivable 3,500 Notes payable 5,400 $ 7,800 $24,000 Inventory 9,000 Total Total $15,200 Long-term debt Owners equity Common stock and paid-in surplus $19,000 3,000 $22,000 Total liabilities and owners 53,800 Fixed assets Net plant and equipment $38,600Retained earnings Total Total assets $53.800 equity Prepare a pro forma balance sheet. Al assets, costs, and accounts payable are proportionate to sales, and assuming an increase in sales of 13 percent, no new external debt or equity financing, and a constant payout ratio. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)HEIR JORDAN CORPORATION Pro Forma Balance Sheet Assets Liabilities and Owners Equity Current assets Current liabilities Cash Accounts receivable Inventory Accounts payable Notes payable Total Long-term debt Owners equity Total Fixed assets Common stock and paid-in surplus Retained earnings Net plant and equipment Total lotal assets Total liabilities and owners equity Calculate the EFN. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answer to 2 decimal places, e.g 32.16.) EFN

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