3. The Additional Funds Needed (AFN) equation Green Caterpiliar Garden Supplies Inc, has the following end-of-year balance sheet: The firm is curfenty in the process of forecanting sales, asset requirements, and required funding for the coming year. In the vear that just ended, Green Coterpillar Garden Suppties Ine generated $350,000 net income on sales of $12,500,000, The firm expects sales to increase by 170 this coming year and also expects to maintain its iong- nun dividend payout ratio of 35 .k. Suppose Green Catepilar's assets ahe fully utilized, Using the additional funds needed (ArN) equation to determine the increase in total askits that is necescary to Hupport a firmy expected tales, it is projected that Green Catepllar will requare Suppose Green Catepillar's ascets are fully utilized. Using the additicnal funds needed (AFN) equation to determine the increase in total assets that is oecessary to support a firm's expected aales, it is peojected that Green Catepiriar will require in additional astets. When a firm grows, some Habiabes grow spontaneoutly along with sales. Spontaneous labilities are a source of captat that the firm wilt generate internally, so they reduce the need for external capital. How much of the total increase in assets wil be supplied by spontaneous Nabilities for Green Catepiliar this year? If addition, Green Caterpiliar Garden Suppiles Inc. is expected to generate net income this year. The firm wil pay out some ot its earnings as dividends but will retain the rest for future asset investment. Again, the more a firm gererates internaliy from its operations, the less it wal have to rase extermally from the capital markets. Assume that the fims's prokit margin and dividend payout ratio are expected to femain constant. Given the pre ce ding information, Gesen Catepilar ekpocts to generate from operatiens that will be added to its existing retained earnings. (Hint Round your angwerta the nearent whole doliar.) Accord ng te the AFN equation and projections far Grcen Catematar Garden Supglies Ine, the fimm's AS N is