What is the external financing needed

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Reference no: EM131220500

The most recent financial statements for Reply, Inc., are shown here:

Income Statement
Balance Sheet
Sales $ 26,500
Assets $ 60,100
Debt $ 27,500
Costs
18,200




Equity
32,600












Taxable income $ 8,300
Total $ 60,100
Total $ 60,100












Taxes (40%)
3,320




















Net income $ 4,980





















Assets and costs are proportional to sales. Debt and equity are not. A dividend of $1,800 was paid, and the company wishes to maintain a constant payout ratio. Next yearAc€?cs sales are projected to be $30,475.

What is the external financing needed? (Do not round intermediate calculations.)

Reference no: EM131220500

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