Multiple Choice
Increasing all accounts by a fixed percentage may not be the best financial planning model because:
A) The debt-equity ratio would vary.
B) Not all accounts vary directly with sales.
C) The model is difficult to use.
D) The growth percentage is difficult to predict.
E) The retention ratio must be held constant.
Correct Answer:

Verified
Correct Answer:
Verified
Q286: Calculate retention ratio given the following information:
Q310: Calculate total current assets given the following
Q330: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB2575/.jpg" alt=" Based
Q331: Shirley's Pastries expects sales of $253,000 next
Q333: The following balance sheet and income statement
Q336: Any external financing need is generally covered
Q337: A firm has sales of $650,969 and
Q338: The percentage of sales approach to financial
Q339: The factors are incorporated in the financial
Q340: If your firm is currently operating at