Problem: Trying to figure out the external financing needed (assuming no income taxes).
Assets and cost are proportional to sales. Debt and equity are not. No dividends are paid. Next year's sales are projected to be $5,967.
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Income Statement
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Balance Sheet
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Sales $5,100
Costs 3,480
Net Income $1,620
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Assets $14,500 Debt $10,200
Equity 4,300
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Total $14,500 Total $14,500
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