1) Compute the new level of net income for the company.

*53,202

*58,486

*92,927

2) Compute the company's addition to retained earnings for the year

*23,800

*31,202

*34,567

3) Compute the new level of total assets required

*1,582.34

*1,272,680

*1,815,880

4) Calculate the new level of current liabilities

*571,720

*461,341

*592,287

5) Compute the company's new level of retained earnings on the balance sheet

*257,190

*243,800

*266,674

6) Calculate the level of Additional Funds Needed (AFN) to support the increase in sales.

*57,281

*102,358

*116,356

ASSETS 2015 $52,000 402,000 836,000 $1,290,000 527,000 -166,200 $360,800 $1,650,800 2014 $57,600 351,200 715,200 $1,124,000 491,000 -146,200 $344,800 $1,468,800 CASH ACCOUNTS RECEIVABLE INVENTORIES TOTAL CURRENT ASSETS GROSS FIXED ASSETS LESS: ACCUMULATED DEPRECIATION NET FIXED ASSETS TOTAL ASSETS LIABILITIES AND EQUITY ACCOUNTS PAYABLE NOTES PAYABLE ACCRUALS TOTAL CURRENT LIABILITIES LONG-TERM DEBT COMMON STOCK RETAINED EARNINGS TOTAL EQUITY TOTAL LIABILITIES AND EQUITY $175,200 225,000 140,000 $540,200 424,612 460,000 225,988 $685,988 $1,650,800 $145,600 200,000 136,000 $481,600 323,432 460,000 203,768 $663,768 $1,468,800 INCOME STATEMENTS SALES COST OF GOODS SOLD GROSS PROFIT OTHER EXPENSES DEPRECIATION 2015 $3,850,000 -3,250,000 600,000 -430,300 -20,000 $149,700 -76,000 $73,700 -29,480 $44,220 $0.44 2014 $3,432,000 -2,864,000 568,000 -340,000 -18,900 $209,100 -62,500 $146,600 -58,640 $87,960 $0.88 EBIT INTEREST EXPENSE EBT TAXES (40%) NET INCOME EPS ASSETS 2015 $52,000 402,000 836,000 $1,290,000 527,000 -166,200 $360,800 $1,650,800 2014 $57,600 351,200 715,200 $1,124,000 491,000 -146,200 $344,800 $1,468,800 CASH ACCOUNTS RECEIVABLE INVENTORIES TOTAL CURRENT ASSETS GROSS FIXED ASSETS LESS: ACCUMULATED DEPRECIATION NET FIXED ASSETS TOTAL ASSETS LIABILITIES AND EQUITY ACCOUNTS PAYABLE NOTES PAYABLE ACCRUALS TOTAL CURRENT LIABILITIES LONG-TERM DEBT COMMON STOCK RETAINED EARNINGS TOTAL EQUITY TOTAL LIABILITIES AND EQUITY $175,200 225,000 140,000 $540,200 424,612 460,000 225,988 $685,988 $1,650,800 $145,600 200,000 136,000 $481,600 323,432 460,000 203,768 $663,768 $1,468,800 INCOME STATEMENTS SALES COST OF GOODS SOLD GROSS PROFIT OTHER EXPENSES DEPRECIATION 2015 $3,850,000 -3,250,000 600,000 -430,300 -20,000 $149,700 -76,000 $73,700 -29,480 $44,220 $0.44 2014 $3,432,000 -2,864,000 568,000 -340,000 -18,900 $209,100 -62,500 $146,600 -58,640 $87,960 $0.88 EBIT INTEREST EXPENSE EBT TAXES (40%) NET INCOME EPS