Pro forma balance sheet Peabody \& Peabody has 2022 sales of $10.3 milion. Il wahes to analyzo expectod periormance and Fnancing needs for 2024 - 2 years ahead. Omen the following information, respend to parts a. and b. (1) The percents of sales for ilerns that vary directly whth sales are as follows: Accounts recoivable; 11.5\%, inventory, 17.9\%; Accounts poyable, 13.6\%; Not proft margin, 34%. (2) Marketable securibes and other curtent liabilies will rernain unchanged (3) Peabody desires a minimum cash balance of $478,000. 2024$391.000 of depreciation will be taken. (5) Accruals will rise to $499,000 by the end of 2024 . (6) There will be no sale or retirement of bang-term debt. (7) No sale or repurchase of common stock is expected. (B) The dividend payout of 50% of net protis will continue. (9) The sales forecast predicts $11.2 million in 2023 and $11.4 million in 2024. (10) The December 31,2022 , balance sheet is here a. Prepare a pro forma balance sheet dated December 31, 2024. b. Discuss the financing changes suggested by the statement prepared in part (a). Peabody \& Peabody Balance Sheet December 31, 2022 Pro Forma Balance Sheet Peabody \& Peabody December 31, 2024 Assets Current assets Cash Marketable securities Accounts receivable Inventories Total current assets Net fixed assets Total assets