Suppose now is early $2021.$ The $2020$ financial statements for James River Paper, Inc., appear below. Interest expense, tax rate and retention ratio will remain constant in $2021.$ Costs, other expenses, current assets, fixed assets, and accounts payable are assumed to increase spontaneously with sales in $2021.$

$2020$ Income Statement

Sales $$836,100$

Costs $$650,700$

Other expenses $$17,100$

Earnings before interest and taxes $$168,300$

Interest expense $$12,600$

Taxable income $$155,700$

Taxes $$54,495$

Net income $$101,205$

Dividends $$30,300$

Addition to retained earnings $$70,905$

Balance Sheet as of December $31,2020$

Assets Liabilities and Equity

Current assets Current liabilities

Cash $$24,035$ Accounts payable $$64,600$

Accounts receivable $$38,665$ Notes payable $$16,150$

Inventory $$82,555$ Total $$80,750$

Total $$145,255$ Long$-$term debt $$150,000$

Owner's equity

Fixed assets Common stock $$130,000$

Net plant and equipment $$392,350$ Retained earnings $$176,855$

Total $$306,855$

Total assets $$537,605$ Total liabilities & equity $$537,605$

a$..$Assume that the CEO picked $30\%$ as the target growth rate for next year. Construct the firm$$s forecasted income statement and balance sheet for $2021.$ How much is the external financing needed $($EFN$)?$

b$.$ Assume the CEO decided to issue long$-$term debt to finance the deficit $($EFN$)$ calculated in part $($b$).$ How much will be the firm$$s debt$-$to$-$assets ratio after issuing this long$-$term debt?