prepare a financial report addressing long-term financial needs

  You are the
head of a trucking accounting department. The chief executive officer has asked
you to prepare a financial report addressing long-term financial needs.
·
Examine financial information for trucking
attached.
Read the New
Strategic Directions Memo. Calculate external funds needed (EFN) to create the
pro forma balance sheet. Calculate the following year-end ratios for the pro
forma statements:

·
Profit as a percentage of sales
·
Current ratio
·
Asset ratio
·
Prepare a financial report containing the EFN
calculation, the ratio calculations, and an explanation of how you reached the
calculations. Explain which income statement and balance sheet items you
assumed were variable instead of fixed.