Consider this balance sheet as your basal scenario. Build up a forecast for the next year, using the following directions:

$*$ Assume an aggressive marketing strategy is planned which is expected to increase sales by $20\%.$ Assume this would

ONLY affect credit sales.

$*$ Assume the company wants to adopt a lean inventory management strategy. They plan to reduce their inventory by $30\%.$

$*$ Assume the company plans to repay $50\%$ of their short$-$term debt within the next period. Additionally, it plans to payout $10\%$ of its credit purchases.

$*$ Retained earnings are budgeted to ascend to $$332,500$

$*$ Assume that the rest of the accounts in the balance sheet, remain unchanged, according to its basal scenario.

Based on the previous calculations, answer the following questions:

$1.-$ Will the company's scenario as budgeted, will be better than the basal one, based on book value $($ASSETS$-$LIABILITIES$)?$ Identify what is the effect of applying the directions, in the budget of next year.

$2.-$ What criteria would you change, to have for the next year a higher book value than the basal year? Explain