Additional Funds Required The Ritter International Company has the following balance sheet last year: ASSETS Cash Accounts Rec. Inventory Fixed Assets $52,500 122,500 262,500 1312,500 LIABILITIES AND EQUITY Accounts Payable Accrued Wages Notes Payable Bonds Common Stock Retained Earnings Total Ciaims $35,000 17,500 122,500 525,500 612,500 437,000 $1,750,000 Total Assets $1,750,000 Ritter sales in 2010 totaled $3.5 million. The ratio of net profit to sales was 3 percent with a dividend payout ratio of 60 percent of income. Sales are expected to increase by 20 percent during 2011. 1. 2. Using the percent of sales method, determine how much outside financing is required. Calculate the company's working capital position