Based on Jim's expectation of

10.4 %10.4%

sales growth and payout ratio of

85.05 %85.05%

of net income next year, Jim developed the pro forma financial statements given below. What is the amount of net new financing needed for Jim's Espresso?Click on the icon located on the top-right corner of the data table below to copy its contents into a spreadsheet.

The Tax Cuts and Jobs Act of 2017 temporarily allows 100% bonus depreciation (effectively expensing capital expenditures). However, we will still include depreciation forecasting in this chapter and in these problems in anticipation of the return of standard depreciation practices during your career.

Income Statement Balance Sheet Sales $224,024 Assets Costs Except Depreciation (110,665) Cash and Equivalents $16,659 EBITDA $113,359 Accounts Receivable 2,219 Depreciation (6,591) Inventories 4,449 EBIT $106,768 Total Current Assets $23,327 Interest Expense (net) (607) Property, Plant, and Equipment 10,952 Pretax Income $106,161 Total Assets $34,279 Income Tax (37,156) Net Income $69,005 Liabilities and Equity Accounts Payable $1,645 Debt 4,050 Total Liabilities $5,695 Stockholders' Equity $35,826 Total Liabilities and Equity $41,521

Based on Jim's expectation of 10.4% sales growth and payout ratio of 85.05% of net income next year, Jim developed the pro forma financial statements given below. What is the amount of net new financing needed for Jim's Espresso? Click on the icon located on the top-right corner of the data table below to copy its contents into a spreadsheet. Pro Forma Financial Statements Income Statement Sales Costs Except Depreciation EBITDA Depreciation EBIT Interest Expense (net) Pre-tax Income Income Tax $224,024 (110,665) $113,359 (6,591) $106,768 (607) $106,161 (37,156) Balance Sheet Assets Cash and Equivalents Accounts Receivable Inventories Total Current Assets Property, Plant, and Equipment Total Assets $16,659 2,219 4,449 $23,327 10,952 $34,279 (Select from the drop-down menu.) The total new financing will be $ . (Round to the nearest dollar.) required