Bohemian Manufacturing Company has the following end-of-year balance sheet Balance Sheet For the Year Ended on December 31 Assets Labiities Current Assets Ourrent Uabilties: Cash and equivalents Accounts receivable Inventories 150,000 ACcounts payable 400,000 350,000 Notes payable 900,000 Total Ourrent Liabilities $250,000 150,000 100,000 500,000 1,000,000 1,500,000 0 Accrued liabilities Total Current Assets Net Fixed Assets: Long-Tem Bonds Net plant and equipment (cost minus depreciation 2,100,000 Total Debt Common Equity Common stock Retained earnings B00,D00 700,000 $1,500,000 $3,000,000 Total Common Equity Total Assets $3,000,000 Total Liabilities and Equity The fin is currently in the process of forecasting sales, asset requirements, and required funding for the coming year. In the year that just ended, Bohemian Manufacturing Company generated $450,000 net income on sales of $13,000,000. The firm expects sales to increase by 18% this coming year and also expects to maintain its long-run dividend payout ratio of 40%. Suppose Bohemian Manufacturing Company's assets are fully utilized. Use the additional funds needed (AFN) equation to determine the increase in total assets that is necessary to support Bohemian Manufacturing Company's expected sales. O $513,00D $567,00D $594,000 O $540,00o When a finm grows, some liabilities grow spontaneously along with sales. Spontaneous liablities are a source of capital that the fim will generate internally, so they reduce the need for extemal capital. How much of the total increase in assets will be supplied by spontaneous liabilities for Bohemian Manufacturing Company this year? O $75,600 O $79,200 O $68,400 O $72,000 In addition, Bohemian Manufacturing Company is expected to generate net income this year. The fim will pay out some of its earnings as dividends but will retain the rest for future asset investment. Again, the more a fim generates internally from its operations, the less it will have to raise extemally from the capital markets. Assume that the fim's profit margin and dividend payout ratio are expected to remain constant. Given the preceding information, Bohemian Manufacturing Company is expected to generate operations that wl be added to retained eanings from According to the AFN equation and projections for Bohemian Manufacturing Company, the fim's AFN is