Kizspy | Question: 17
(Choose 1 answer)
The table below is financial statement of SafeNet Company
Sales
COGS
SafeNet Company
2016 Income Statement
Depreciaton
EBIT
Interest paid
SafeNet Company
2016 Balance Sheet
$ 12,500.0
15625 Cash
990.0 Accounts payable
$ 1.330.0
$ 8,100.0
Accounts recievable
S
840.0 Long-term debt.
$ 3.700.0
$ 1.700.0
Inventory
620.0 Common stock
$ 4.600.0
$ 2,700.0
Total
$ 2,450.0 Retained earnings
$ 2.840.0
$ 864.0
Net fixed assets
$ 10,020.0
Taxable Income
$ 1,836.0
Total Assets
$ 12,470.0 Total liabilities & equity $ 12,470.0
Taxes
$ 406.0
$ 1,430.0
S
953.44
Dividends
$ 474.0
Addition to retained earnings
$ 956.0
SafeNet Company is projecting sales to increase by 6 percent next year and the profit margin to remain constant. The firm wants to increase the dividend payout ratio by 12 percent. What is the amount of the projected addition to retained earnings for next year? (Please select nearest number.)
A. $954
B. $1,010
C. $1,103
Net Income
D. $1,405
