Answer the following

$360,000 156,000 0 Balance Sheet (Dec. 31, 2019, in thousand $) Cash $ 180,000 Accounts payable Receivables 360,000 Notes payable Inventories 720,000 Line of Credit Total current assets $1,260,000 Accruals Fixed assets 1,440,000 Total current liabilities Common stock Retained earnings Total liabilities and Total assets $2,700,000 equity 180,000 $ 696,000 1,800,000 204,000 $2,700,000 Income Statements (Dec. 31, 2019, in thousand $) Sales $3,600,000 Operating costs 3,279,720 EBIT $ 320,280 Interest 18,280 Pre-tax earnings $ 302,000 Taxes (40%) 120,800 Net income $ 181,200 Dividends (45%) 108,000 Suppose that in 2020 sales increase by 10% over 2019 sales and that 2020 dividends will increase to $112,000,000. Assume that assets, spontaneous liabilities, and operating costs are expected to increase by the same percentage as sales in year 2020. Use an interest rate of 13%, and assume that any new debt will be added at the end of the year (so forecast the interest expense based on the debt balance at the beginning of the year). Cash does not eam any interest income. Assume that the all-new debt will be in the form of a line of credit. (1) Forecast the financial statements for year 2020. (10 points) (2) Estimate additional funding needed. (5 points)