- none of these

- 8

- 308

- 193

- 208

In Year 2, sales are expected to increase by 30%. Management has made the following preliminary decisions. a. a. Net property, plant, and equipment will increase from $300 to $500. b. b. Loans payable will increase from $300 to $400. c. c. Dividends will double from $15 to $30. Note: Assume forecasted Net Income is $70. Actual Forecasted Year 1 Year 2 Cash 10 Inventory 250 Property, Plant, and Equipment (net) 300 Total Assets 560 Accounts Payable 100 Loans Payable 300 100 Paid-in Capital Retained Earnings Total Liabilities and Equities 60 560 35 Beginning Retained Earnings Net Income 40 - Dividends (15) Ending Retained Earnings 60 What is forecasted PAID-IN CAPITAL for Year 2