1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
kakasveta [241]
3 years ago
12

ECG Monitors is forecasting that sales next year will be $8,640,000, a 20 percent increase over current sales. ECG has total ass

ets of $3,840,000 and all assets will increase proportionately with sales. Of the current liabilities, only accounts payable (now $740,000) will increase with sales. What total financing will be needed by ECG to support the expected sales increase?
Business
1 answer:
Rama09 [41]3 years ago
3 0

Answer:

$ 620,000

Explanation:

<u>The increase is assets is the amount the firm will need to finance:</u>

Current Assets: 3,840,000

Forecast Assets: 3,840,000 x ( 1 + 20%) = 4,608,000

Assets to finance: 4,608,000 - 3,840,000 = 768,000

<u>A portion of this will be financed by the supplier as the accounts payable will increase:</u>

Curent Account Payable: 740,000

Forecast A/P: 740,000 x (1 + 20%) =  888,000

Financiation provided by the supplier: 888,000 - 740,000 = 148,000

<u>The rest will requiere addtional financiation through equity or other means.</u>

Total Financiation needed: 768,000 - 148,000 = 620,000

You might be interested in
The relationship between quantity supplied and the price of output is such that Group of answer choices quantity will decrease a
Lady_Fox [76]

Answer:

An increase in quantity will automatically lead to a reduction in price.

An increase in price will lead to an increase in quantity supplied.

Explanation:

Option “2” and “4” are correct because the increase in quantity supplied shifts the supply curve rightwards and resulting in the price falls. While the positive relationship between price and the quantity supplied leads to an increase in supply when price increases. When price increases then the producer finds more profitable to supply more quantity. Thus, in order to curb more profit, the producer supplies more quantity when price increases.

5 0
3 years ago
6. Why do American business owners try to avoid accepting Canadian coins?
fenix001 [56]

Answer:

because America coins and Canada coins is same

Explanation:

pls mark this

3 0
3 years ago
During the current period, Roberts recognized interest expense of $9,400 and paid interest of $9,000 related to its discounted b
VARVARA [1.3K]

Answer:

amortization on discount on BP 400

Explanation:

When there is a difference between the face value and the issuance proceeds from the bond a premium or discount is created.

When the proceeds are above, there will be a premium and the interest expense will be lower thant the actual cash outlay on the bond.

When theface value is above the proceeds, there is a discount.and expenses are higher than cash payment to bondholders.

In this case the expense is higher so there is a discount.

6 0
3 years ago
The best answer to both the flatness and horizon problems is Group of answer choices dark energy. the inflationary epoch. decoup
Ksivusya [100]

It should be noted that best answer to both the flatness and horizon problems is inflationary epoch.

The inflationary epoch van be regarded as the period in the evolution of the early universe, at this period there was an expansion.

According to inflation theory, the earth were recorded to experience great horizon problems and exponential expansion.

Therefore, inflationary epoch brings about both flatness and horizon problems

Learn more about inflationary epoch at:

brainly.com/question/11356270

3 0
2 years ago
Ginger's working on creating her first Google Search Ad. She wants to create an inviting and relevant ad, so potential customers
pav-90 [236]

has a larger font size

includes a current promotion

is listed after search results

includes at least two different colors

has a relevant headline

Answer:

has a relevant headline

includes a current promotion

Explanation:

A google search ad is a paid advertisement that is created to promote a product or service using the google ads platform and they appear in the search results on Google. To create a relevant ad that will earn user clicks, Ginger should focus on creating an ad that has a relevant headline that is related to the product or service so that it will attract the potential customers that are looking what she is offering. Also, the ad should include a current promotion that will increase potential customer's interest and call them to action.

The other options are not right because having a large font size, being listed after search results  and including at least two different colors  won't get customers interest and lead them to act by clicking on the ad.

7 0
3 years ago
Other questions:
  • Suppose you inherited $275,000 and invested it at 8.25% per year. How much could you withdraw at the end of each of the next 20
    11·1 answer
  • On December 31, 2021, Flint Corporation sold for $100,000 an old machine having an original cost of $180,000 and a book value of
    15·1 answer
  • Kayleigh is looking over a number of material requisition slips from her employees. She has to sign off on each request after re
    5·1 answer
  • Which of the following best explains why a resident of Venezuela would wish to use U.S. currencies rather than currencies issued
    13·1 answer
  • 27) Cooley Landscaping Company needs to borrow $30,000 for a new front-end dirt loader. The bank is willing to loan the funds at
    11·1 answer
  • A stock has an expected return of 16 percent, the risk-free rate is 6.4 percent, and the market risk premium is 7.3 percent.Requ
    12·1 answer
  • The signing of the project portfolio statement signals the transition from the high-level project initiating stage into the more
    10·1 answer
  • After graduating with his MBA and returning from his trip to find no shoes from
    15·1 answer
  • A candy company has 115 pounds of cashews and 140 pounds of peanuts which they combine into two different mixes. The deluxe mix
    5·1 answer
  • Michael works as a financial advisor in a doctors office. The two organizations that Michael most likely belongs to are the..
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!