AFN Formula
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What would happen to AFN if:
(1) sales increase
(2) profit margin increases
(3) suppliers are paid on delivery rather than a 30 day delay
(4) dividend payout ratio is increased
(5) the company begins to sell on credit (previously all sales have been cash)
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The response discusses AFN Formula.
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What would happen to AFN if:
(1) sales increase - AFN will reduce due to increase in Retained earnings
(2) profit margin ...
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