$1.$ Fuzzy Button Clothing Company reported sales of $$820,000$ at the end of last year; but this year, sales are expected to grow by $6\%.$ Fuzzy Button expects to maintain its current profit margin of $24\%$ and dividend payout ratio of $20\%.$ The firm$$s total assets equaled $$450,000$ and were operated at full capacity. Fuzzy Button$$s balance sheet shows the following current liabilities: accounts payable of $$75,000,$ notes payable of $$35,000,$ and accrued liabilities of $$70,000.$ Based on the AFN $($Additional Funds Needed$)$ equation, what is the firm$$s AFN for the coming year?

$-$$$170,874$

$-$$$156,015$

$-$$$133,727$

$-$$$148,586$

$2.$ Because of its excess funds, Fuzzy Button Clothing Company is thinking about raising its dividend payout ratio to satisfy shareholders. Fuzzy Button could pay out $(?)$ of its earnings to shareholders without needing to raise any external capital. $($Hint: What can Fuzzy Button increase its dividend payout ratio to before the AFN becomes positive?$)$

$-82\mathrm{.}1$

$-63\mathrm{.}8$

$-91\mathrm{.}2$

$-68\mathrm{.}4$