(Related to Checkpoint 17 1) (Discretionary financing needs) In the spring of 2013 the Caswell Publishing Company established a custom publishing business for its business clients These clients consisted principally of small to medium size companies in Round Rock, Texas However, the company's plans were disrupted when they landed a large printing contract from Dell Computers Corp (DELL) that they expected would run for several years Specifically, the new contract would increase firm revenues by 100 percent Consequently, Caswell's management knew they would need to make some significant changes in firm capacity, and quickly The following balance sheet for 2013 and pro forma balance sheet for 2014 reflect the firm's estimates of the financial impact of the 100 percent revenue growth Caswell Publishing Co Caswell Publishing Co Caswell Publishing Co Balance Sheet for 2010 Pro Forma Balance Sheet for 2011 100 Current assets 12100000 Current assets 24200000 Net fixed assets 17810000 Net fixed assets 35620000 Total 29910000 Total 59820000 Accounts payable 1910000 Accounts payable 3820000 Accrued expenses 2080000 Accrued expenses 4160000 Notes payable 1460000 Notes payable 1460000 Current liabilities 5450000 Current liabilities 9440000 Long term debt 6500000 Long term debt 6500000 Total liabilities 11950000 Total liabilities 15940000 Common stock (par) 1040000 Common stock (par) 1040000 Paid in capital 1910000 Paid in capital 1910000 Retained earnings 15010000 Retained earnings 15010000 Common equity 17960000 Common equity 17960000 Total 29910000 Projected sources of financing 33900000 Discretionary financing needs Total financing needs Total assets a The discretionary financing needs are $ (Round to the nearest dollar ) b Given the nature of the new contract and the specific needs for financing that the firm expects, what recommendations might you offer to the firm's chief financial officer as to specific sources of financing the firm should seek to fulfill its DFN (Select all the choices that apply below ) A Retained earnings B Sale of fixed assets C Common stock D Long term debt E Notes payable

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(Related to Checkpoint 17.1) (Discretionary financing needs) In the spring of 2013 the Caswell Publishing Company established a custom publishing business for its business clients.

(Related to Checkpoint 17.1)(Discretionary financing needs)In the spring of 2013 the Caswell Publishing Company established a custom publishing business for its business clients. These clients consisted principally of small- to medium-size companies in Round Rock, Texas. However, the company's plans were disrupted when they landed a large printing contract from Dell Computers Corp. (DELL) that they expected would run for several years. Specifically, the new contract would increase firm revenues by 100 percent. Consequently, Caswell's management knew they would need to make some significant changes in firm capacity, and quickly. The following balance sheet for 2013 and pro forma balance sheet for 2014 reflect the firm's estimates of the financial impact of the 100 percent revenue growth

Caswell Publishing Co.

Caswell Publishing Co.		Caswell Publishing Co.
Balance Sheet for 2010		Pro Forma Balance Sheet for 2011	100%
Current assets	12100000	Current assets	24200000
Net fixed assets	17810000	Net fixed assets	35620000
Total	29910000	Total	59820000
Accounts payable	1910000	Accounts payable	3820000
Accrued expenses	2080000	Accrued expenses	4160000
Notes payable	1460000	Notes payable	1460000
Current liabilities	5450000	Current liabilities	9440000
Long-term debt	6500000	Long-term debt	6500000
Total liabilities	11950000	Total liabilities	15940000
Common stock (par)	1040000	Common stock (par)	1040000
Paid-in-capital	1910000	Paid-in-capital	1910000
Retained earnings	15010000	Retained earnings	15010000
Common equity	17960000	Common equity	17960000
Total	29910000	Projected sources of financing	33900000
		Discretionary financing needs
		Total financing needs=Total assets

a. The discretionary financing needs are $_____________(Round to the nearest dollar.)

b.Given the nature of the new contract and the specific needs for financing that the firm expects, what recommendations might you offer to the firm's chief financial officer as to specific sources of financing the firm should seek to fulfill its DFN?(Select all the choices that apply below.)

A.Retained earnings.

B.Sale of fixed assets.

C.Common stock.

D.Long-term debt.

E.Notes payable.