(Financial forecastingdiscretionary financing needs) Sambonoza Enterprises projects its sales next year to be $3 million and expects to earn 4 percent of that amount after taxes. The firm is currently in the process of projecting its financing needs and has made the following assumptions(projections):

1. Current assets will equal 24 percent ofsales, and fixed assets will remain at their current level of $1 million.

2. Common equity is currently $0.70 million, and the firm pays out half of itsafter-tax earnings in dividends.

3. The firm hasshort-term payables and trade credit that normally equal 14 percent ofsales, and it has nolong-term debt outstanding.

What areSambonoza's financing requirements(i.e., totalassets) and discretionary financing needs (DFN) for the comingyear?

What areSambonoza's financing requirements or total assets for the comingyear?

$

million.(Round to two decimalplaces.)

What areSambonoza's discretionary financing needs (DFN) for the comingyear?

$

million.(Round to two decimalplaces.)