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61.
If Major Manuscripts, Inc. decides to maintain a constant debt-equity ratio,
what rate of growth can it maintain assuming that no additional external
equity financing is available.
62.
Major Manuscripts, Inc. is currently operating at maximum capacity. All
costs, assets, and current liabilities vary directly with sales. The tax rate
and the dividend payout ratio will remain constant. How much additional
debt is required if no new equity is raised and sales are projected to
increase by 6 percent?
63.
Major Manuscripts, Inc. is currently operating at 82 percent of capacity. All
costs and net working capital vary directly with sales. The tax rate, the
profit margin, and the dividend payout ratio will remain constant. How much
additional debt is required if no new equity is raised and sales are projected
to increase by 15 percent?
64.
Assume the profit margin and the payout ratio of Major Manuscripts, Inc.
are constant. If sales increase by 9 percent, what is the pro forma retained
earnings?
65.
Assume that Major Manuscripts, Inc. is currently operating at 97 percent of
capacity and that sales are projected to increase to $20,000. What is the
projected addition to fixed assets?
66.
All of Fake Stone's costs and net working capital vary directly with sales.
Sales are projected to increase by 3.5 percent. What is the pro forma
accounts receivable balance for next year?
67.
The profit margin, the debt-equity ratio, and the dividend payout ratio for
Fake Stone, Inc. are constant. Sales are expected to increase by $1,062 next
year. What is the projected addition to retained earnings for next year?
68.
Assume that Fake Stone, Inc. is operating at full capacity. Also assume that
all costs, net working capital, and fixed assets vary directly with sales. The
debt-equity ratio and the dividend payout ratio are constant. What is the pro
forma net fixed asset value for next year if sales are projected to increase
by 7.5 percent?
69.
Assume that Fake Stone, Inc. is operating at 88 percent of capacity. All
costs and net working capital vary directly with sales. What is the amount of
the pro forma net fixed assets for next year if sales are projected to
increase by 13 percent?
70.
Assume that Fake Stone, Inc. is operating at full capacity. Also assume that
assets, costs, and current liabilities vary directly with sales. The dividend
payout ratio is constant. What is the external financing need if sales
increase by 12 percent?
