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Financial Management Problems....3 parts....9 questions in all

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Click attachment 1 for selected financial statements for Micro Chip Computer Corporation, and answer questions 1, 2, and 3 below based on the financial data.

1. Determine the year-to-year percentage annual growth in total net sales.

2. Based only on your answers to question #1, do you think the company will hit its sales goal of +10% annual revenue growth in 2005?

3. Determine the target revenue figure, and explain why you do or do not feel that the company can hit this target.

Next, consider Micro Chip's Consolidated Statement of Operations for the year ended September 25, 2004 click attachment 2 to download and answer questions 1, 2, and 3.

1. Use the Percentage Sales Method and a 20% increase in sales to forecast Micro Chip's Consolidated Statement of Operations for the period September 26, 2004 through September 25, 2005. Assume a 15% tax rate and restructuring costs of 2% of the new sales figure.

2. Discuss your results from question number #1.

3. What assumptions have you made? Do any of your assumptions seem unreasonable?

Use the annual information found in attachment 3 to answer the following:

Calculate the following asset activity ratios for the end of 2005:
1. Average Collection Period
2. Inventory Turnover
3. Total Asset Turnover

****Please detail all of the steps, including formulae and calculations used to arrive at financial values, so I can follow where they are coming from. If using Excel must provide an adequate explanation of the methodology used to arrive at that answer.****

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