CP

404 CHAPTER 10 Analysis of Financial Statements Spreadsheet Problem Start with the partial model in the file Ch 10 P12 Build a M ...

Mini Case 405 2001 2002 2003E Liabilities and Equity Accounts payable $ 145,600 $ 324,000 $ 359,800 Notes payable 200,000 720,00 ...

406 CHAPTER 10 Analysis of Financial Statements RATIOANALYSIS Industry 2001 2002 2003E Average Current 2.3 1.5 — 2.7 Quick 0. ...

Selected Additional References and Cases 407 Selected Additional References and Cases The effects of alternative accounting poli ...

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408 Financial Planning and Forecasting Financial Statements 11 Many managers compare financial planning with having a root canal ...

Overview of Financial Planning 409 Chapters 9 and 10 described what financial statements are and showed how both man- agers and ...

410 CHAPTER 11 Financial Planning and Forecasting Financial Statements A corporate focus on creating wealth for the company’s ow ...

Sales Forecast 411 It should be noted that large, multidivisional companies such as General Electric break down their operating ...

412 CHAPTER 11 Financial Planning and Forecasting Financial Statements FIGURE 11-1 MicroDrive Inc.: 2002 Sales Projection (Milli ...

Financial Statement Forecasting: The Percent of Sales Method 413 Although it is useful to calculate the past growth rate in sale ...

414 CHAPTER 11 Financial Planning and Forecasting Financial Statements of cost to sales, and the ratio dropped to 87.2 percent i ...

Financial Statement Forecasting: The Percent of Sales Method 415 However, some companies do have a fixed relationship between sa ...

416 CHAPTER 11 Financial Planning and Forecasting Financial Statements TABLE 11-2 MicroDrive Inc.: Actual and Projected Income S ...

Financial Statement Forecasting: The Percent of Sales Method 417 A similar approach would be to base the interest expense on the ...

418 CHAPTER 11 Financial Planning and Forecasting Financial Statements but it does plan to increase the dividend by 8 percent, r ...

Financial Statement Forecasting: The Percent of Sales Method 419 Fifth, many firms use short-term bank loans, shown on the balan ...

420 CHAPTER 11 Financial Planning and Forecasting Financial Statements constant, so the forecast for accounts receivable is 0.12 ...

Financial Statement Forecasting: The Percent of Sales Method 421 $60/$3,000 0.02 2 percent. Assuming that the payables policy ...

422 CHAPTER 11 Financial Planning and Forecasting Financial Statements the forecast meets the financial targets as set forth in ...