The Manning Company has financial statements as shown next which are representative of the company's historical average. The firm is expecting a 40 percent increase in sales next year , and management is concerned about the company's need for external funds The increase in sales is expected to be carried out without any expansion of fixed assets, but rather through more efficient asset utilization in the existing store. Among liabilities, only current abilities vary directly with sales 2 Dom Income Statement Expenses Earnings before interest and taxes Interest tamnings before taxes Tavas Tarning after te Dividends 5300,000 246, 5.5 2001 9.100 54.100 17.11 127,00 $400 Balance Sheet and other city 5 1.00 Assets canh Accorci Tento Cerent W.600 Accounts payah 56.000 kr 100 15, CITI 0.00 100 12.00 CON HAN 2. wa Ches 11 Dividends $5,400 $29.000 Ints Assets Cash Accounts receivable Inventory Current assets Fixed assets 2,250 Balance Sheet Llabilities and Stockholders' Equity 5 9,000 Accounts payable 56,000 Accrued ages 70.000 Accrued taxes $ 135,000 Current Habilities 86,000 Notes payable Long-term debt Comon stock Retained carning 5 221,000 Total liabilities and stockholders equity 4,750 $ 35,000 9,100 25,500 125.00 Boom Hint 5221,000 Total assets Using the percent-of-sales method, determine whether the company has external financing needs, or a surplus of funds, Hint A profit margin and payout ratio must be found from the income statements (Do not round Intermediate calculations.) The form