Question
The most recent financial statements for Bello, Inc., are shown here: Income Statement Balance Sheet Sales $ 38,200 Assets $ 138,000 Debt $ 38,500 Costs
The most recent financial statements for Bello, Inc., are shown here: Income Statement Balance Sheet Sales $ 38,200 Assets $ 138,000 Debt $ 38,500 Costs 26,300 Equity 99,500 Taxable income $ 11,900 Total $ 138,000 Total $ 138,000 Taxes (23%) 2,737 Net income $ 9,163 Assets and costs are proportional to sales; debt and equity are not. A dividend of $2,950 was paid, and the company wishes to maintain a constant payout ratio. Next years sales are projected to be $43,166. What is the external financing needed? (Do not round intermediate calculations.)
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