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The most recent financial statements for Crosby, Incorporated, appear below. Sales for 2022 are projected to grow by 20 percent. Interest expense will remain constant;

The most recent financial statements for Crosby, Incorporated, appear below. Sales for 2022 are projected to grow by 20 percent. Interest expense will remain constant; the tax rate and the dividend payout rate also will remain constant. Costs, other expenses, current assets, fixed assets, and accounts payable increase spontaneously with sales. CROSBY, INCORPORATED 2021 Income Statement Sales $ 744,000 Costs 579,000 Other expenses 15,000 Earnings before interest and taxes $ 150,000 Interest expense 11,000 Taxable income $ 139,000 Taxes (21%) 29,190 Net income $ 109,810 Dividends $ 32,943 Addition to retained earnings 76,867 CROSBY, INCORPORATED Balance Sheet as of December 31, 2021 Assets Liabilities and Owners Equity Current assets Current liabilities Cash $ 20,340 Accounts payable $ 54,500 Accounts receivable 43,280 Notes payable 13,700 Inventory 88,960 Total $ 68,200 Total $ 152,580 Long-term debt $ 127,000 Fixed assets Owners equity Net plant and equipment $ 420,000 Common stock and paid-in surplus $ 113,000 Retained earnings 264,380 Total $ 377,380 Total assets 572,580 Total liabilities and owners equity $ 572,580 If the firm is operating at full capacity and no new debt or equity is issued, what external financing is needed to support the 20 percent growth rate in sales?

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