Question 27, Accounting HW CH 3:

The most recent financial statements for XYZ Corp., are shown below

*This is assuming there are no income taxes:

Income Statement		Balance Sheet
Sales	$4,400	Assets	$15,300	Debt	$10,300
Costs	3,460			Equity	5,000
Net income	$940	Total	$15,300	Total	$15,300

Assets and costs are proportional to sales, however debt and equity are not.

No dividends are paid.

Next year's sales are projected to be $5,968.

What is the external financing needed?

(Please do not round your intermediate calculations.)

Chose from the following options:

• $4,457

• $4,177

• $3,927

• $4,302

• $4,047