A G 0 S X AA AB AC AD AE AF AG AH A W N HOMEWORK PROBLEM DUE 9.24.2019 REQUIRED You are to calculate the amount of external financing Southwest will need if they plan to grow 2018 sales by 10% in 2019. THE NEEDED SOUTHWEST FINANCIALS ARE POSTED ON CANVAS Growth Assumption 10.0% 11 Return on Equity 2 Net Income S 13 14 Shareholders' Equity S 15 16 ROE 0.0% 17 19 18 Payout/Plowback 20 Dividends 21 $ 2 Net Income S 23 24 0.0% 25 Plowback 0.0% 27 Sustainable Growth Rate 28 29 30* 0.0% 31 Plowback 0.0% 32 98 82 0.0% 0.0% 38 Increase in Earnings 2018 2019P 39 Revenues S S 40 41 Net Income 0.0% $ 42 13 Plowhack % 0.0% SW Airlines +A B D G 0 S X AA AB AC AD AE AF AG AH 32 33 0.0% 34 35 0.0% 36 38 37 Increase in Earnings 2018 39 2019P $ S 40 41 Net Income S 0.0% $ 42 43 Plowback % 0.0% 44 45 Increase to Retained Earnings S 46 47 Assets 2018 S 48 49 2019 Increase 0% 50 2019 Projected Assets S 51 52 Non Debt Liabilities 53 Accounts payable 54 Accrued laibilities 55 Air traffic liability current and non-current 56 Deferred income taxes 57 Construction obligations 58 Other non-current 59 Total Non-Debt Liabilities 60 2019 Increase 10% 61 62 Projected 2019 Liabilities 63 64 Debt as of 2018 65 Shareholders' equity end of 2018 66 Retained earnings plowback 2019 projected 67 8 External Debt needed to fund growth or (excess cash) S 69 70 71 72 73 71 SW Airlines +