Dahlia Colby, CFO of Charming Florist Ltd., has created the firms pro forma balance sheet for the next fiscal year. Sales are projected to grow by 20 percent to $330 million. Current assets, fixed assets, and short-term debt are 15 percent, 75 percent, and 5 percent of sales, respectively. Charming Florist pays out 25 percent of its net income in dividends. The company currently has $126 million of long-term debt and $54 million in common stock par value. The profit margin is 16 percent.

a.	Construct the current balance sheet for the firm using the projected sales figure.

b.	Based on Ms. Colbys sales growth forecast, how much does Charming Florist need in external funds for the upcoming fiscal year?

c-1.	Construct the firms pro forma balance sheet for the next fiscal year.

c-2.	Calculate the external funds needed.