Abc international has the following summarised statement of


ABC international has the following summarised statement of financial position at 31 December 20X1:

Non-current assets 2000, inventories 300, receivables 500, cash 200, payables 1000.

Over the next year the company should triple its sales. The company does not plan to invest in any non-current assets, but inventories, receivables and payables should all more in line with sales.

What cash balance in one year’s time would this imply if the non-current assets were all land no new capital was raised and all profits were paid out as dividends?

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Financial Management: Abc international has the following summarised statement of
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