Harvard$$s anticipates a large increase in the demand for tweed sport coats and deck shoes. A sales increase of $20$ percent is forecast.

All balance sheet items are expected to maintain the same percent$-$of$-$sales relationships as last year, except for common stock and retained earnings. No change in the number of common shares outstanding is scheduled, and retained earnings will change as dictated by the profits and dividend policy of the firm.

a$.$ Will external financing be required for the Prep Shop during the coming year?

multiple choice

Yes

No