17-1 For the Company ABC, if, in 2019, the Companys total assets is $3,000,000, non-interest bearing current liability is $500,000, sales revenue is $5,000,000, profit ratio (net income/sales revenue) is 5%, and the Companys sales revenue is expected to reach $6,000,000 in 2020 with same dividend payout ratio of 70% as 2019, whats the Companys Additional Funds Needed (AFN)?

17-2 The capital intensity ratio is measured as A₀*/S₀ (assets/revenue in the previous year, 2019). If this firms capital intensity ratio is increased from 60% to 80%, this firm is more capital intensive. In that case, whats the firms AFN? Will the AFN be increased, compared with the case in 17-1 above, and why?

17-3 Given the data in 17-1, if the Company pays zero dividend, whats the firms AFN? Comparing with 17-1, is the AFN going up or down? And why?