Problem $6-2$

Sales for Mantle Co$.$ are expected to be $$460,000$ next year. These new sales will increase Inventory and Account receivables by $$95,000.$ The company has a steady profit margin of $15$ percent, with a $30$ percent dividend payout.

How much external funding will the firm need? Assume there is no increase in liabilities other than that which will occur with the external financing.

External funds needed

$