So im not going to get into the numbers but i have done a proforma balance and income statement for Exxon Mobil based on 10% sales increase and calculated my EFN
I then calculated my ROA, ROE, Payout rate, IGR, and SGR for the present year
My proforma's resulted in a need for External financing but my SGR said i should be able to grow 20% without EFN
Is this simply the fault of the inaccuracy of proforma projections? Which is more trust worthy SGR or Proforma EFN?
and lastly incase i did it wrong What accounts are affected in a proforma 10% sales increase currently I left out long term debt and equity (as according to the assignment) as well as interest expense, Taxes, deprecation. (Income tax was calculated using first year %*EBIT)
Any help would be appreciated