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For 2012, the income statement of Lunchbox Enterprises reported net sales of $27,300, EBIT of $13,450, taxable income of $9,770 and net income of $3,342.

For 2012, the income statement of Lunchbox Enterprises reported net sales of $27,300, EBIT of $13,450, taxable income of $9,770 and net income of $3,342. The firm paid $456 in dividends. The balance sheet reported current assets of $3,650, net fixed assets of $10,850, current liabilities of $1,920, long-term debt of $3,500, common stock of $7,500 and retained earnings of $1,580. Lunchbox Enterprises is currently operating at 92 percent of capacity. The profit margin and the dividend payout ratio are projected to remain constant. Sales are projected to increase by 4 percent next year. What is the projected addition to retained earnings for next year? 

  

$1,309.60

  

$1,421.40 

  

$1,884.96 

  

$2,667.74 

  

$3,001.44 

 

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