INCOME STATEMENT, $2022$

Sales $ $3,000$

Cost $2,200$

Net income $ $800$

BALANCE SHEET, YEAR$-$END

$2021202220212022$

Assets $ $3,500$ $ $4,000$ Debt $ $853$ $ $1,000$

Equity $2,6473,000$

Total $ $3,500$ $ $4,000$ Total $ $3,500$ $ $4,000$

If sales increase by $25\%$ in $2023$ and the company uses a strict percentage of sales planning model $($meaning that all items on the income and balance sheet also increase by $25\%),$ what must be the balancing item?

What will be the value of this balancing item?