Conn Man's Shops, a national clothing chain, had sales of $400 million last year The business has a stoady net proft margin of 9 percent and a dividend payout ratio of 25 percent. The balance sheet for the end of last year is shown next Balance Sheet End of Year (in S milions) Assets Cash Accounts receivable Inventory Plant and equipment $ 71 50 63 60 36 s 280 30 Accounts payable 5 Accrued expenses 87 Other payables 118 Common stock Retained earrings Total assets S280 Total liabilities and stockholiders' equity The firm's marketing staff has told the president that in the coming year there will be a large increase in the demand for overcoats and wool slacks. A sales increase of 20 percent is forecast for the company All balance sheet items are expected to maintain the same percent-of-sales relationships as last year," except for common stock and retained eamings. No change is scheduled in the number of common stock shares outstanding, and retained earnings will change as dictated by the profits and dividend policy of the firm. (Remember the net profit margin is 9 percent.) This includes fioxed assets since the firm is at full capacity a. Will external financing be required for the company during the coming year? No Yes b. What would be the need for external financing if the net profit margin went up to 10.50 percent and the dividend payout ratio was increased to 65 percent? (Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Enter your answer in dollars, not millions,(e.g. $1,234,567).) d new funds