In mid-2007, Eco-Products management prepared a five-year (20072011) projec-tion of revenues and expenses (see Table 1). What annual rates of growth were projected for net sales? Make a back-of-the-envelope estimate of the amounts of additional assets needed to support the sales forecasts. How might these assets be financed? Prepare a rough estimate of the possible size of external financing needed to support these sales projections.

Table 5 Previous Rounds of Financing Table 1 Financial Projections (\$ Thousands) Abbreviation: EBITDA, earnings before interest, taxes, depreciation, and amortization. Source: Confidential Private Placement Memorandum, October 16, 2007, p. 28