RRM$,$ Inc. has the following balance sheet:

RRM$,$ Incorporated Balance Sheet as of $12/31/$X$0$

Assets Liabilities and Equity

Cash $ $2,700$ Accruals $ $4,800$

Marketable securities $2,500$ Accounts payable $17,450$

Accounts receivable $17,160$ Notes payable $8,000$

Inventory $19,820$

Long$-$term debt $20,000$

Common stock $22,000$

Plant and equipment $43,000$ Retained earnings $12,930$

$ $85,180$ $ $85,180$

Sales are currently $$100,000,$ but management expects sales to rise to $$130,000.$ The net profit margin is expected to be $11$ percent, and the firm distributes $60$ percent of its earnings as dividends.

Management is concerned about the firm's need for external funding to cover the expansion in assets required by the expansion in sales. To achieve sales of $$130,000,$ management will have to expand plant by $$10,000$ and expects to increase its holdings of cash by $$1,000.$ However, the holding of marketable securities may be reduced to zero.

According to the percent of sales and the additional information, will the firm need external financing, and, if so$,$ how much? Round your answer to the nearest dollar. Enter the answer as a positive value.

The firm

$-$Select$-$

funds of $

$.$

Construct a pro forma balance sheet indicating the forecasted new entries for sales of $$130,000.$ If the firm has excess funds, they should be invested in marketable securities$.$ If the firm needs funds, these should be covered by issuing new long$-$term debt. If your answer is zero, enter $"0".$ Round your answers to the nearest dollar.

RRM$,$ Incorporated Pro Forma Balance Sheet as of $12/31/$X$1$

Assets Liabilities and Equity

Cash $

Accruals $

Marketable securities

Accounts payable

Accounts receivable

Notes payable

Inventory

Long$-$term debt

Common stock

Plant and equipment

Retained earnings

$

$