LONG-TERM FINANCING NEEDED At year-end 2016, total assets for Arrington Inc. were $1.3 million and accounts payable were $300,000. Sales, which in 2016 were $2.2 million, are expected to increase by 15 in 2017. Total assets and accounts payable are proportional to sales, and that relationship will be maintained that is, they will grow at the same rate as sales. Arrington typically uses no current liabilities other than accounts payable. Common stock amounted to $355,000 in 2016, and retained earnings were $260,000. Arrington plans to sell new common stock in the amount of $80,000. The firm's profit margin on sales is *35% of earnings will be retained. What were Arrington's tots liabilities in 2016? Write out your answer completely. For example, 25 million should be entered as 25,000,000. Round your answer to the nearest cent B. How much new long-term debt financing will be needed in 2017? Write out your answer completely. For example, 25 million should be entered a 25,000,000. Do not round your intermediate calculations, Round your answer to the nearest cent. (Hint: AFN - New stock - New long-term debt.) to read the eBook: The AFN Equation SALES INCREASE Paladin Furnishings generated $4 million in sales during 2016, and its year and total assets were $2.5 million. Also, at year end 2016, current Sabilities were $500,000, consisting of $200,000 of notes payable, $200,000 of accounts payable, and $100,000 of accrued liabilities Looking ahead to 2017, the company estimates that its assets must increase by $0,65 for every $1.00 Increase in sales. Paladin's profit margin is 7%, and its retention ratio is 35%. How farge of a sales increase can the company achieve without having to raise funds extemally? Write out your answer completely. For example, 25 milion should be entered as 25,000,000. Do not round intermediate calculations. Round your answer to the nearest cent