Financing Deficit Garlington Technologies Inc.'s 2021 financial statements are shown below: Income Statement for December 31,...

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Financing Deficit Garlington Technologies Inc.'s 2021 financial statements are shown below: Income Statement for December 31, 20211 Sales $4,000,000 Operating costs 3,200,000 EBIT $800,000 Interest 120,000 Pre-tax earnings $680,000 Taxes (25%) 170,000 Net income 510,000 Dividends $ 190,000 Balance Sheet as of December 31, 2021 Cash $160,000 Accounts payable $360,000 Receivables 360,000 Line of credit Inventories 720,000 Accruals - 200,000 Total CA $1,240,000 Total CL $560,000 Fixed assets i Total Assets 4,000,000 $5,240,000 Long-term bonds 1,000,000 Common stock 1,100,000 RE Total L&E 2,580,000 $5,240,000 Suppose that in 2022 sales increase to $4.4 million and that 2022 dividends will increase to $216,000. Forecast the financial statements using the forecasted financial statement method. Assume the firm operated at full capacity in 2021. The long-term bonds have an interest rate of 12%. New financing will be with a line of credit. Assume it will be added at the end of the year. Cash does not earn any interest income. Enter your answers as positive values. Do not round intermediate calculations. Round your answers to the nearest dollar Garlington Technologies Inc. Pro Forma Income Statement December 31, 2022 Sales $ Operating costs $ EBIT $ Interest $ Pre-tax earnings $ Taxes (25%) $ Net income $ $ Dividends: Addition to RE: Garlington Technologies Inc. Pro Forma Balance Statement December 31, 2022 Cash Receivables $ $ Inventories in $ Total current assets $ Fixed assets $ Total assets $ Accounts payable $ Line of credit $ Accruals 10 Total current liabilities LT bonds $ $ 10 $ Common stock $ Retained earnings $ $ Total L&E Financing Deficit Garlington Technologies Inc.'s 2021 financial statements are shown below: Income Statement for December 31, 20211 Sales $4,000,000 Operating costs 3,200,000 EBIT $800,000 Interest 120,000 Pre-tax earnings $680,000 Taxes (25%) 170,000 Net income 510,000 Dividends $ 190,000 Balance Sheet as of December 31, 2021 Cash $160,000 Accounts payable $360,000 Receivables 360,000 Line of credit Inventories 720,000 Accruals - 200,000 Total CA $1,240,000 Total CL $560,000 Fixed assets i Total Assets 4,000,000 $5,240,000 Long-term bonds 1,000,000 Common stock 1,100,000 RE Total L&E 2,580,000 $5,240,000 Suppose that in 2022 sales increase to $4.4 million and that 2022 dividends will increase to $216,000. Forecast the financial statements using the forecasted financial statement method. Assume the firm operated at full capacity in 2021. The long-term bonds have an interest rate of 12%. New financing will be with a line of credit. Assume it will be added at the end of the year. Cash does not earn any interest income. Enter your answers as positive values. Do not round intermediate calculations. Round your answers to the nearest dollar Garlington Technologies Inc. Pro Forma Income Statement December 31, 2022 Sales $ Operating costs $ EBIT $ Interest $ Pre-tax earnings $ Taxes (25%) $ Net income $ $ Dividends: Addition to RE: Garlington Technologies Inc. Pro Forma Balance Statement December 31, 2022 Cash Receivables $ $ Inventories in $ Total current assets $ Fixed assets $ Total assets $ Accounts payable $ Line of credit $ Accruals 10 Total current liabilities LT bonds $ $ 10 $ Common stock $ Retained earnings $ $ Total L&E