Decker Enterprises
Below Are the Simplified Current and Projected Financial

question 5

Multiple Choice

Decker Enterprises
Below are the simplified current and projected financial statements for Decker Enterprises. All of Decker's assets are operating assets. All of Decker's current liabilities are operating li abilities.
$\begin{array} { l c r } \text { Income statement } & \text { Current} & \text { Projected } \\ \text { Sales } & \text { na } & 1,500 \\ \text { Costs } & \text { na } & 1,080 \\ \text { Profit before tax } & \text { na } & 420 \\ \text { Taxes } ( 25 \% ) & \text { na } &\underline{ 105} \\ \text { Net income } & \text { na } & 315 \\ \text { Dividends } & \text { na } & 95 \end{array}$
$\begin{array} { l r r l r r } \text { Balance sheets } & \text { Current } & \text { Projected } & & \text { Current } & \text { Projected } \\ \text { Current assets } & 100 & 115 & \text { Current liabilities } & 70 & 81 \\ \text { Net fixed assets } & 1,200 & 1,440 & \text { Long-term debt } & 300 & 360 \\ & & & \text { Common stock } & 500 & 500 \\ & & & \text { Retained earnings } & 430 & 650 \end{array}$
-Based on the projections, Decker will have

• A) a financing surplus of $36
• B) a financing deficit of $36
• C) a financing surplus of $255
• D) a financing deficit of $255
• E) zero financing surplus or deficit

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Definitions:

Single Parenthood

A circumstance in which a child or children are raised by a single parent instead of by two parents.

Differing Parenting Styles

The use of different methods and approaches to raising children, often influenced by cultural, social, and individual factors.

Cultures

The shared values, traditions, norms, customs, arts, history, folklore, and institutions of a group of people.

Parent-child Relationship

A dynamic interaction between a parent and their child, influencing the child's development and socialization.