question 1,2,3,4. Question 1 Define each of the following terms. a.Operating plan, financial plan b.

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Question 1 Define each of the following terms. a.Operating plan, financial plan b. Spontaneous liabilities, profit margin, payout c.Additional funds needed (AFN; AFN equations capital intensity ratios, self-supporting growth rate. d. Forecasted financial statement approach using percent of sales e. Exceed capacity; lumpy assets; economies of scale f. Full capacity sales target fixed assets/sales ratios required level of fixed assets Question 2 Name five key factors that affect a firm’s external financing requirements? Question 3 Maggie’s muffins, Inc., generated $5,000,000 in sales during 2013, and its year-end total were $2,500,000. Also, at year-end 2013, current liabilities were $1,000,000, consisting of $300,000 of notes payable, $500,000 of accounts payable, and $200,000 of accruals. Looking ahead to 2014, the company estimates that its assets must increase at the same rate as sales, its spontaneous liabilities will increase at the same rate as sales, its profit margin will incr

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15Question 1Define each of the following terms.a.Operating plan, financial planb. Spontaneous liabilities, profit margin, payoutc.Additional funds needed (AFN; AFN equations capital intensity ratios, self-supporting growthrate.d. Forecasted financial statement approach using percent of salese. Exceed capacity; lumpy assets; economies of scalef. Full capacity sales target fixed assets/sales ratios required level of fixed assetsQuestion 2Name five key factors that affect a firms external financing requirements?Question 3Maggies muffins, Inc., generated $5,000,000 in sales during 2013, and its year-end total were$2,500,000. Also, at year-end 2013, current liabilities were $1,000,000, consisting of $300,000of notes payable, $500,000 of accounts payable, and $200,000 of accruals. Looking ahead to2014, the company estimates that its assets must increase at the same rate as sales, itsspontaneous liabilities will increase at the same rate as sales, its profit margin will increase by%7 and its payout ratio will be %80. How large a sales increase can the company achievewithout having to raise funds externallythat is, what is its self-supporting growth rate?Question 4The Booth Companys sales are forecasted to double from $1,000 in 2013 to $2,000 in 2014.Here is the December 31 2013, balance sheet:Cash$ 100Accounts payable$ 50Accounts receivable200Notes payableInventories200Accruals50Net Fixed assets500Long-term debt400

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