Pro forma balance sheet.

Next year, National Beverage Company will increase its plant, property, and equipment by

$4,053,000 with a plant expansion. The inventories will grow by 25%, accounts receivable will grow by 19%, and marketable securities will be reduced by 50% to help finance the expansion. Assume all other asset accounts will remain the same and the company will use long-term debt to finance the remaining expansion costs (no change in common stock or retained earnings). Using this information and the balance sheet in the popup window,for National Beverage Company for 2013, prepare a pro forma balance sheet for 2014. How much additional debt will the company need using this pro forma balance sheet?

$ National Beverage Company Balance Sheet for the Year Ending December 31, 2013 ASSETS LIABILITIES Current assets Current liabilities Cash $ 2,500,000 Accounts payable Marketable securities $ 1,690,000 Other current liabilities Accounts receivable $ 2,772,000 Total current liabilities Inventories $ 1,654,000 Long-term liabilities Total current assets $ 8,616,000 Long-term debt Long-term assets Other long-term liabilities Plant, property, and equipment $ 13,634,000 Total long-term liabilities $ $ $ 5,697,000 3,238,000 8,935,000 $ $ 1,365,000 2,851,000 4,216,000 $ $ CA HA $ $ 5,697,000 3,238,000 8,935,000 $ A $ $ Cash Marketable securities Accounts receivable Inventories Total current assets Long-term assets Plant, property, and equipment Goodwill Intangible assets Total long-term assets 2,500,000 Accounts payable 1,690,000 Other current liabilities 2,772,000 Total current liabilities 1,654,000 Long-term liabilities 8,616,000 Long-term debt Other long-term liabilities 13,634,000 Total long-term liabilities 1,487,000 Total liabilities 6,463,000 OWNERS' EQUITY 21,584,000 Common stock Retained earnings $ 1,365,000 2,851,000 4,216,000 13,151,000 $ $ $ $ $ CA 6,824,000 10,225,000 $ $ $ $ $ Inventories Total current assets Long-term assets Plant, property, and equipment Goodwill Intangible assets Total long-term assets 1,365,000 2,851,000 4,216,000 13,151,000 $ $ $ $ $ 1,654,000 Long-term liabilities 8,616,000 Long-term debt Other long-term liabilities 13,634,000 Total long-term liabilities 1,487,000 Total liabilities 6,463,000 OWNERS' EQUITY 21,584,000 Common stock Retained earnings Total owners' equity TOTAL LIABILITIES AND 30,200,000 OWNERS' EQUITY $ $ 6,824,000 10,225,000 17,049,000 $ TOTAL ASSETS $ $ 30,200,000 $ $ $ National Beverage Company Pro Forma Balance Sheet for the Year Ending December 31, 2014 ASSETS LIABILITIES Current assets Current liabilities Cash Accounts payable Marketable securities Other current liabilities Accounts receivable Total current liabilities Inventories Long-term liabilities Total current assets Long-term debt Long-term assets Other long-term liabilities Plant, property, and equipment Total long-term liabilities Goodwill Total liabilities A CA $ CA