Long-Term Financing Needed Original total assets Original accounts payable Original sales % Growth in sales Original stock Original retained earnings New stock issue Profit margin Payout rate $1,800,000 $305,000 $2,800,000 30.00% $495,000 $225,000 $200,000 6.00% 45.00% Debt Calculations: Original long-term debt Original total liabilities Formulas #N/A #N/A Additional Funds Needed Calculation: Required % increase in assets % increase in spontaneous liabilities New Sales, S1 Change in Sales, AS #N/A #N/A #N/A #N/A Required increase in assets Increase in spontaneous liabilities Increase in retained earnings New stock issue New debt needed = AFN - new stock #N/A #N/A #N/A #N/A #N/A