Q1: Uptone Computers Makes bulk Purchases of Small Computers ,Stocks them in conveniently located warehouses, ships them to its chain of retail stores , and has a stafi to advise customers and help them set up to their new computers Uptone s balance sheet as of December 31, 2010, is shown here (Millions of dollars). 26.0 31200- Cash A- Reeivables Inventories Total current Asset 18.0 20340 8.5 12. $3.5 24. A.payable $9.0 loc Notes payable 58.0 696 Accruals 87.5 Total current liabilities 35.5 159:- 5.34 35.0 ale Mortgage loan 6.0 21 Common stock 15.0 150 Retained earnings 122.5 17.- Total liabilities and and equity 122.5 174. Net fixed assets 66.0 735 Total assets Sales for 2010 were $350 million and net income for the year was $10.5 million so the Firm s profit margin was 3.0 % Upton paid dividends of $ 4.2 million to commo stockholders, so its payout ratio was 40%, It operated at full capacity. Assume that all Assets / sales rations, Spontaneous liabilities / sales ratios the profit margin and the payout ratio remain constant in 2011. 756 a If sales are projected to increase by $ 70 million, or 20% during 2011, us the EFR equation to determine Upton s projected external fund requirements, JV3400 b- Use the forecasted financial statement method to forecast Upton s balance sheet for December 31, 2011 Assume that all additional external fund is raised as in notes payable what is the amount of notes payable on the 2011 forecasted balance