Harrison Electronics, Inc. operates a chain of electrical lighting and fixture distribution centers throughout northern Arizona. The firm is anticipating expansion of its sales in the coming year as a result of recent population growth trends. The firm's financial analyst has prepared pro forma balance sheets that reflect three different rates of growth in firm sales for the coming year and the corresponding non-discretionary sources of financing the firm expects to have available, as follows:

Harrison Electronics, Inc.
Pro Forma Balance Sheet for 2014		Alternative Growth Rates
	Calculation	10%		20%		40%
Current assets		$13,200,000		$14,400,000		$16,800,000
Net fixed assets		$19,800,000		$21,600,000		$25,200,000
Total		$33,000,000		$36,000,000		$42,000,000
Accounts payable		$2,200,000		$2,400,000		$2,800,000
Accrued expenses		2,200,000		2,400,000		2,800,000
Notes payable	No change	1,500,000		1,500,000		1,500,000
Current liabilities		5,900,000		6,300,000		$7,100,000
Long-term debt	No change	6,500,000		6,500,000		6,500,000
Total liabilities		$12,400,000		$12,800,000		$13,600,000
Common stock (par)	No change	$1,000,000		$1,000,000		$1,000,000
Paid-in capital	No change	2,000,000		2,000,000		2,000,000
Retained earnings		15,550,000		15,600,000		15,700,000
Common equity		$18,550,000		$18,600,000		$18,700,000
Projected sources of financing		$30,950,000		$31,400,000		$32,300,000
Discretionary financing needs
Total financing needs equals Total assetsTotal financing needs=Total assets