Galehouse Gas Stations Incorporated expects sales to increase from $$1,650,000$ to $$1,850,000$ next year. Galehouse believes that net assets $($Assets $-$ Liabilities$)$ will represent $50$ percent of sales. Her firm has an $12$ percent return on sales and pays $40$ percent of profits out as dividends.

a$.$ What effect will this growth have on funds?

The cash balance will

b$.$ If the dividend payout is only $20$ percent, what effect will this growth have on funds?

The cash balance will