ExxonMobil is an integrated oil and gas company with headquarters located in Kuala Lumpur. The company engages in natural gas gathering and processing and operate more than 30 platforms in offshore Peninsular Malaysia. The company has three operating groups: Exploration and Production, Gas and Gas Liquids, Downstream Operations, which encompasses Petroleum Products and Chemicals. In the early-2000s, ExxonMobil engaged in a major restructuring resulted in RM4.5 billion plan to exchange a package of cash and debt securities for roughly half the company shares and to sell RM2 billion worth of assets. ExxonMobil long-term debt increased from RM3.4 billion in late 2004 to a peak of RM8.6 billion in April 2009. During 2007, ExxonMobil was able to strengthen its financial structure dramatically. Its subsidiary ExxonMobil Gas Company completed an offering of RM345 million of Series A9.32% cumulative preferred stock. As a result of this action and prior years' debt reductions, the company lowered its long-term debt-to- I capital ratio over past 5 years from 75% to 55%. In addition, the firm refinanced over a billion ringgit of its debt at reduced rates. A company spokesman said, "Our debt-to-capital ratio is still on the high side, and we'll keep working to bring it down. But the cost of debts is manageable, and we're beyond the point where debt overshadows everything else, we do". Highlights of ExxonMobil's financial condition from 2010 to 2016 are fond in the accompanying table. These data reflect the company's financial restructuring following the downsizing and reorganization of ExxonMobil's operation begin in the early-2000s. Summary Financial Information for ExxonMobil's 2015 to 2021 (in millions of MYR except for per share figures) Sales Net Income EPS Current Assets Total Assets Current Liabilities Long-term debt Total Liabilities Preferred stock Common equity Dividends per share 2010 2011 2012 2013 2014 2015 2016 10018 10917 11490 12492 13975 13259 12140 228 35 650 219 541 98 270 0.89 0.06 2.72 0.90 2.18 0.38 1.04 2802 2855 3062 2876 3322 2459 2349 13403 12111 11968 11256 12130 11473 11468 2234 2402 2468 2706 2910 2503 2517 8175 7887 7387 6418 6505 6113 5894 10409 10289 9855 9124 9411 8716 8411 270 205 000 0 359 1724 1617 2113 2132 2719 2757 2698 2.02 1.73 1.34 0 1.03 1.12 1.12 ExxonMobil's managers are currently developing its financial plans for the next 5 years and want to develop a forecast of its financing requirements. As a first approximation, they have asked you to develop a model that can be used to make ballpark" estimates of the firm's financing needs under the proviso that existing relationships found in the firm's financial statements remain the same over the period. Of particular interest is whether ExxonMobil will be able to further reduce its reliance on debt financing. You may assume that ExxonMobil's projected sales (in millions) for 2017, 2018, 2019, 2020, 2021 are as follows: RM13000, RM13500, RM14000, RM14500, RM15500. A. Project net income for 2017 to 2021 using the percent of sales method. B. Project total sales and current liabilities for 2017 to 2021 using percent of sales method and your sales projections from part A.