Complete a 5-year financial forecast for the company consisting of pro-forma income statements, balance sheets and Additional Funds Needed. You may assume the following:

Revenues will grow at rate of 25% per year over the 5-year forecast period.

Cost of Goods Sold and G&A Expenses will maintain their current percentage of sales during the forecast period.

Taxes can be calculated at a rate of 33%, and the dividend payout ratio will be maintained at 45%.

The following balance sheet items can be forecasted as a percentage of sales: Cash, Accounts Receivable, Inventory, Pre-paid Expenses, Net Fixed Assets, Accounts Payable and Accrued Taxes and Wages, and will maintain their current percentage of sale during the forecast period.

Notes Payable are assumed to remain constant at current levels and Long-Term Debt can be forecasted as 75% of Net Fixed Assets. You may further assume an interest rate of 8% on both the Notes Payable and the Long Term Debt.

Assume any External Funding Needed will be in the form of additional Common Equity contributions (compared to the current level) by the owners of the business.

Using the above assumptions, determine the external funding needed each year.