just need discretionary financing needs

WONHO X Problem 14-4 (similar to) Financial forecasting percent of sales) Next year's sales for Cumberland Mily, are expected to be $16.80 milion Current sales are $14 million, based on current sets of 54.67 million and fixed assets of $7.00 million. The firm's net profe margin is 4 percent is Cumberland estimates that its current assets wil rise in direct proportion to the increase in sales, but that is fredsses will increase by only $200.000. Currently, Cumberland has $1.50 milion in accounts pay (which vary directly with sas)12 million in long-term debt (due in 10 years), and common Guilty including $2 million in retained earnings) totaling 58.17 milion Cumberland plans to pay $0.17 million in common stock dividends next year a. What are Cumberland's to financing needs (that is, total assets) for the coming year? b. Given the firm's projections and dividend payment plans, what are discretionary financing needs? c. Based on your pronctions, and souming that the $200.000 expansion in freed assets wil occur, what is the largest increase in sales the firm can support without having to resort to the use of discretionary sources of financing? What are Oumberland's total financing needs at is, total assets) for the coming year? $12.00 million (Round to two decimal places) b. Given the firm's projections and vidend payment plans, what are its discretionary financing nedi? milion (Round to two decimal places) Enter your answer in the answer box and then click Chick Answer memang Clear MacBook Pro G Search or type URL 2 $ 4 3 % 5 & 7 6 8 9 0 dele Q W E T Y U - OP u