4.2 REQUIRED Determine the External Funding Needed by Preparing a Pro Forma Statement of Financial Position as at 31 December 2021 from the information given below. INFORMATION The financial position of Tshidiso Limited as at 31 December 2020 appears below: (14 Marks) Statement of Financial Position as at 31 December 2020 R Assets Non-Current Assets 1 100 000 Property Plant and Equipment 1 800 000 Accumulated Depreciation (780 000) Financial Assets 80 000 Current Assets 3 938 100 Inventory 2 650 000 Trade and other receivables 1 080 000 Cas and Cash equivalents 208 100 Total Assets 5 038 100 Equity and Liabilities Shareholders Equity 1 550 000 Ordinary Share Capital 950 000 Retained Earnings 600 000 Non-Current Liabilities Long term Loan 1 317 600 Current Liabilities 2 170 500 Trade and other payables 1 200 000 Other Current Liabilities 970 500 Total Equity and Liabilities 5 038 100 Additional information: Operations for 2021 were projected using the following working assumptions: All sales are on credit and are expected to amount to R6 000 000. The profit margin (net profit margin) is expected to be 10%. Equipment costing R100 000 is due to be purchased in June 2021. Depreciation is expected to be R130 000 for the year. 8000 shares at R7 each are expected to be purchased from UJM Limited. Inventories are expected to be 8% higher than in 2020. Accounts receivable are expected to amount to 25% of credit sales. A cash balance of R200 000 is desired. Dividends for the year are estimated at R165 000 and these are payable in 2022 Mortgage loan repayment amounting to R380 000 (excluding interest) is expected to be made during 2021 Accounts payable are forecasted to be 20% of sales. 12 000 new ordinary shares are issued at R22 per share through right issue. Other current liabilities will be expected decrease to R541 400