- The Most Recent Financial Statements For Hopington Tours Inc Follow Sales For 2018 Are Projected To Grow By 20 Inter 1 (39.21 KiB) Viewed 35 times
The most recent financial statements for Hopington Tours Inc. follow. Sales for 2018 are projected to grow by 20%. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, and accounts payable increase spontaneously with sales. The firm is operating at full capacity and no new debt or equity is issued. HOPINGTON TOURS INC. 2017
Statement of Comprehensive Income Sales $756,000 Costs 591,000 Other expenses 12,000 Earnings before interest and taxes $153,000 Interest paid 14,000 Taxable income $139,000 Taxes (30%) 41,700 Net income $ 97,300 Dividends $33,360 Addition to retained earnings 63,940 Assets Current assets Cash Accounts receivable Inventory Total HOPINGTON TOURS INC.
Statement of Financial Position as of December 31, 2017 Liabilities and Owners' Equity Current liabilities $ 26,600 Accounts payable 42,000 Notes payable 88, 200 Total $156,800 Long-term debt Owners' equity Common stock and paid-in surplus $280,000 Retained earnings Total $436, 800 Total liabilities and owners' equity $ 69,300 18,300 $ 87,600 $139,000 Fixed assets Net plant and equipment $125,000 85,200 $210,200 $436, 800 Total assets
Complete the pro forma
statement of comprehensive Income below. (Input all amounts as positive values. Omlt $ sign in your response.) HOPINGTON TOURS INC. Pro Forma
statement of comprehensive Income 20 % sales Growth $ $ $ Sales Costs other expenses EBIT Interest Taxable income Taxes (30%) Net income Dividends Add. to RE $ $ A LA $ Complete the pro forma
statement of financial position below. Assets $ Current assets Cash Accounts receivable Inventory Total $ $ $ $ $ HOPINGTON TOURS INC. Pro Forma
statement of Financial Position Liabilities and Owners' Equity Current liabilities Accounts payable Notes payable Total $ Long-term debt Owners' equity Common stock and paid in surplus Retained earnings Total $ Total liabilities and owners' equity $ Fixed assets Net plant and equipment $ $ $ $ Total assets $ Calculate the EFN for 20% growth rates. 20% EFN $