Pro forma balance sheet-Basic Leonard Industries wishes to prepare a pro forma balance sheet for next year. The firm expects sales to total $3,000,000. The following information has been gathered. (1) A minimum cash balance of $50,500 is desired. (2) Marketable securities will remain unchanged. (3) Accounts receivable represent 10.1% of sales. (4) Inventories represent 12.1% of sales. (5) Leonard will acquire a new machine costing 590,400. Total depreciation for year will be $31.900. (6) Accounts payable represent 14.2% of sales. (7) Accruals, other current liabilities, long-term debt, and common stock will remain unchanged. (8) The firm's net profit margin is 3.6%, and it expects to pay out $69,900 in cash dividends next year. (9) The most recent balance sheet follows a. Use the judgmental approach to prepare a pro forma balance sheet for next year. b. How much, if any, additional financina will Leonard Industries require? Discuss. Assets Cash Marketable securities Accounts receivable Inventories Total current assets Net fixed assets Leonard Industries Balance Sheet Liabilities and Stockholders' Equity $44,500 Accounts payable 15.100 Accruals 255,100 Other current liabilities 340,500 Total current liabilities $655,200 Long-term debt 600,300 Common stock Retained earnings $1,255,500 Total liabilities and stockholders' equity 5394,500 59,600 30,000 $484,100 351,500 199,900 220,000 $1,255,500 Total assets