Orion Corporation Balance Sheet Year0;Cash $400 Accounts Payable `$ 150;Accounts Receivable 250 Accrued Wages 1,000;Inventory 1,200 Notes Payable 500;Net fixed Assets 6,000 Common Stock 3,200;Retained Earnings 3,000;Totals Assets $ 7,850 Total Liabilities $ Equity $ 7,850;Orion Corporation has just developed a new type of microchip.;Orion expects sales will quadruple, from $5,000 in year0 to $20,000 in year1 (next year). This is expected to result in a net income of $4,000 in Year 1. Orion pays 80% of their net income in dividends. Orion has a plenty of excess capacity and believe that they will not need any additional fixed assets to achieve the increase in sales for year1.;Will Orion need any additional funding for year1?;Will Orion Need any additional funding for YEAR1? If so how much?;If not how much excess do they have? Show all work.
Paper#74890 | Written in 18-Jul-2015Price : $22