The CFO of Biologic Company has created the firm s pro forma balance sheet for the next fiscal year. Sales are projected to grow by 20 percent to $42 million. Current assets, fixed assets, and short-term debt are 28 percent, 62 percent, and 12 percent of sales, respectively. Biologic Company pays out 40 percent of its net income in dividends. The company currently has $8 million of long-term debt and $17 million in common stock par value. The profit margin is 10 percent. Based on the CFO's sales growth forecast, how much does Biologic Company need in external funds for the upcoming fiscal year? (Hint: you need to construct the balance sheet this year and determine the accumulated retained earnings before constructing the proforma balance sheet to determine the EFN)

		$2.72 million
		$2.94 million
		$3.15 million
		$3.37 million
		$3.56 million

		$2.72 million
		$2.94 million
		$3.15 million
		$3.37 million
		$3.56 million