1140.00 Income Statement Year 2020 Net Revenue - Cost of Goods Sold 70.000 - Depreciation Expense 9,000 EBIT 161.000 - Interest Expense 10.500 Income Before Taxes 50,500 Tax Expense 10.605 Net Income 39,895 2019 Dividend 9.974 Balance Sheet Year (end of) 2019 2020 Assets Liabilities Current Assets Current Liabilities Cash and Equivalents 10,000 Accounts Payable Accounts Receivable 25,000 Long-term Debt Inventory 12,000 Total Liabilities Fixed Assets, Net 165.000 Stockholders' Equity Total Assets 212,000 Common Stock Retained Earnings Total Stockholders Equity 2019 2020 21.000 95.000 116,000 44,000 $2,000 96,000 Sales will grow by 10% in 2020. All costs, assets, and current liabilities vary directly with sales. Interest Exp., Common Stock, Tax Rate and Div. payout ratio are constant. L-T Debt=Plug number. 1A. Prepare a 2020 forecast. What is the 2020 Dividend and Addition to Retained Earnings? (15 pts) IB. If a bank will allow Atlantic to borrow 2.5 times prior year EBITDA, how much total Long-Term Debt would the bank allow in 2020? (5 pts) 1C. What is Atlantic's Days Accounts Payables in 2020? By how many Days would A/P need to increase to balance the Balance Sheet if Long-Term Debt = $70,000? (5 pts)