The most recent financial statements for Crosby, Inc., follow. Sales for 2018 are projected to grow by 20 percent. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, fixed assets, and accounts payable increase spontaneously with sales. CROSBY, INC.
2017 Income Statement
Sales $763,000
Costs 598,000
Other expenses 34,000
Earnings before interest and taxes $ 131,000
Interest paid 30,000
Taxable income $ 101,000
Taxes (25%) 25,250
Net income $ 75,750
Dividends $ 23,483
Addition to retained earnings 52,267
CROSBY, INC.
Balance Sheet as of December 31, 2017
Assets Liabilities and Owners
Current assets Current liabilities
Cash $ 22,240 Accounts payable $ 56,400
Accounts receivable 45,180 Notes payable 15,600
Inventory 107,960 Total $ 72,000
Total $ 175,380 Long-term debt $ 146,000
Fixed assets Owner's equity
Net plant and
equipment $ 439,000 Common stock and
paid-in surplus 2500
Retained earnings 273,880
Total $ 396,380
Total assets $ 614,380 Total liabilities and
owners equity $ 614,380
If the firm is operating at full capacity and no new debt or equity is issued, what external financing is needed to support the 20 percent growth rate in sales?

Insurance companies have internal controls in place to protect assets, monitor the accuracy of accounting records and encourage operational efficiencies and adherence to policies. these internal controls are generally of two types: administrative controls and accounting controls. administrative controls are the policies and procedures that guide the daily actions of employees. accounting controls are the policies and procedures that delineate authorizations of financial transactions that are done, safeguard assets, and provide reports on the company’s financial status in a reliable and timely manner. internal controls should include both preventative and detective controls. the purpose of preventative controls is to stop problems and errors before they occur. detective controls identify problems after they have occurred. preventative controls are usually more effective at reducing problems, but they also tend to be more expensive. internal controls must be flexible to adjust for changes in laws and regulations in addition to adding new products or modifying current ones. companies must also do regular analyses to ensure that the benefits of implementing the controls are worth their costs. when concerned about paying unwarranted insurance claims which type of control would be useful?

The undress company produces a dress that women use to quickly and easily change in public. the company is just over a year old and has been successful through a kickstarter campaign. the undress company has identified a customer segment, but if it wants to reach a larger customer segment market outside of the kickstarter family, what question must it answer?

Cadillac's portfolio consists of sedans, a crossover, a sport utility vehicle, and a high-performance version of the sedan. the sedans are sold through the cadillac dealer network, but the high-performance version is sold in limited volumes and is not available at all dealers. this difference in availability is an example of how the products within the cadillac portfolio are differentiated by the