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Suppose That TV Industries, Inc A) $0
B) $6,250
C) $206,250
D) $12,500

question 66

Multiple Choice

Suppose that TV Industries, Inc. currently has the balance sheet shown as follows, and that sales for the year just ended were $5 million. The firm also has a profit margin of 15 percent, a retention ratio of 25 percent, and expects sales of $5.5 million next year. If all assets and current liabilities are expected to increase with sales, what amount of additional funds will the company need from external sources to fund the expected growth?
 Assets  Liabilities and Equity  Current Assets $1,000,000 Current Liabilities $1,000,000 Fixed Assets 2,000,000 Long-tern Debt 1,000,000 Equity 1,000,000 Total Assets $3,000,000 Total Liabilities ard Equity $3,000,000\begin{array} { l r l l l } \text { Assets } & & { \text { Liabilities and Equity } } \\\text { Current Assets } & \$ 1,000,000 & \text { Current Liabilities } & \$ 1,000,000 \\\text { Fixed Assets } & 2,000,000 & \text { Long-tern Debt } & 1,000,000 \\& & \text { Equity } & 1,000,000 \\\text { Total Assets } & \$ 3,000,000 & \text { Total Liabilities ard Equity } & \$ 3,000,000\end{array}

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The male or female reproductive organs, including both the external parts (such as the penis or vulva) and internal structures (such as the ovaries or testes).

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Pertaining to the chin or closely positioned to the chin.

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The scientific study of heredity and the variation of inherited characteristics.

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A social construct relating to behaviors, activities, and roles that a society considers appropriate for men, women, and non-binary people.

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