Nosfe

ratu
 

15
%
8,
00
0,
00
0
9,
20
0,
00
0
7,
00
0,
00
0
assert growth per year 15%
current liabilities 1,400,000
payout ratio 40%
(spontaneous
liabilites do not
count notes payable
Additional Funds Needed = Increase in Assets - Increase in Spontaneous
Liabilities - Increase in Retained Earnings

AFN= (previous year assets)*sales growth rate- (last year liabillites*sales growth- sales of
this year * after tax profit margin * ( 1- payout ratio)

135 331
1050000 000 200

583
800

The AFN in problem 2 is higher than the one found in problem 1 for several reasons. First, from a mathmatical presepect
because the assets portion was increased while the increase in spontaneous liabillites and increase in retained earnings
From a logical prespective, you are going to need more additonal funds than before becasue the requoired increase in a
needs increased by 2,000,000 dollars. This can only be provided by greater additonal funding. Also, the capital intensity
 due to these changes as it incrreases due to the increase in assets (which is the numerator)

sales growth per year

sales 2012

sales 2013
assets (end of 2012)

$34,700
 

$5,141
$3,427
$4,958
$13,526
$3,500
$17,026
$3,500
$14,174
$17,674
$34,700

assert growth per year

current liabilities
accounts payable
notes payable
accrurals

after tax profit margin

payout ratio
 Additional Funds Needed = Increase in Assets - Increase in Spontaneous Liabilities - Increase in Retained Earnings

The War of 1812 (18 June 1812 – 17 February 1815) was fought by the United States of
America and its indigenous allies against the United Kingdom and its allies in British North America,
with limited participation by Spain in Florida. It began when the US declared war on 18 June 1812
and, although peace terms were agreed upon in the December 1814 Treaty of Ghent, did not
American citizenship certificates. [14] Opinion was split on how to respond, and although majorities in
both the House and Senate voted for war, they divided along strict party lines, with the Democratic-
Republican Party in favour and the Federalist Partyagainst.[d][15] News of British concessions made in
an attempt to avoid war did not reach the US until late July, by which time the conflict was already
underway.
At sea, the far larger Royal Navy imposed an effective blockade on US maritime trade, while
between 1812 to
catapulting him to national celebrity and later victory in the 1828 United States presidential election.
[19]
 News of this success arrived in Washington at the same time as that of the signing of the Treaty of
Ghent, which essentially restored the position to that prevailing before the war. While Britain insisted
this included lands belonging to their Native American allies prior to 1811, Congress did not
recognize them as independent nations and neither side sought to enforce this requirement.
The War of 1812 (18 June 1812 – 17 February 1815) was fought by the United States of
America and its indigenous allies against the United Kingdom and its allies in British North America,
with limited participation by Spain in Florida. It began when the US declared war on 18 June 1812
and, although peace terms were agreed upon in the December 1814 Treaty of Ghent, did not
officially end until the peace treaty was ratified by Congress on 17 February 1815.[12][13]
Tensions originated in long-standing differences over territorial expansion in North America and
British support for Native American tribes who opposed US colonial settlement in the Northwest
Territory. These escalated in 1807 after the Royal Navy began enforcing tighter restrictions on
American trade with France, exacerbated by the impressment of men claimed as British subjects,
even those with American citizenship certificates. [14] Opinion was split on how to respond, and
although majorities in both the House and Senate voted for war, they divided along strict party lines,
with the Democratic-Republican Party in favour and the Federalist Partyagainst.[d][15] News of British
concessions made in an attempt to avoid war did not reach the US until late July, by which time the
conflict was already underway.
At sea, the far larger Royal Navy imposed an effective blockade on US maritime trade, while
between 1812 to 1814 British regulars and colonial militia defeated a series of American attacks
on Upper Canada.[16] This was balanced by the US winning control of the Northwest Territory with
victories at Lake Erie and the Thames in 1813. The abdication of Napoleon in early 1814 allowed the
British to send additional troops to North America and the Royal Navy to reinforce their blockade,
crippling the American economy.[17] In August 1814, negotiations began in Ghent, with both sides
wanting peace; the British economy had been severely impacted by the trade embargo, while the
Federalists convened the Hartford Convention in December to formalise their opposition to the war.
In August 1814, British troops burned Washington, before American victories
at Baltimore and Plattsburgh in September ended fighting in the north. It continued in
the Southeastern United States, where in late 1813 a civil war had broken out between
a Creek faction supported by Spanish and British traders and those backed by the US. Supported by
American militia under General Andrew Jackson, they won a series of victories, culminating in the
capture of Pensacola in November 1814.[18] In early 1815, Jackson defeated a British attack on New
Orleans, catapulting him to national celebrity and later victory in the 1828 United States presidential
election.[19] News of this success arrived in Washington at the same time as that of the signing of the
Treaty of Ghent, which essentially restored the position to that prevailing before the war. While
Britain insisted this included lands belonging to their Native American allies prior to 1811, Congress
did not recognize them as independent nations and neither side sought to enforce this requirement.