sales expected to increase from $1,690,000 to $1,890,000 next year. Net assets (assets-liabilities) will represent 65 percent of sales. His firm has an 11 % return on sales and pays 35 % of profits out as dividends. Input all amounts as positive values. What effect will this growth have on funds? The cash balance will be reduced by ( ). If the dividend is only 15% what effect will this growth have on funds?
