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The most recent financial statements for Hopington Tours Inc, follow. Sales for 2016 are projected to grow by 20 percent. Interest expense will remain constant;

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The most recent financial statements for Hopington Tours Inc, follow. Sales for 2016 are projected to grow by 20 percent. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, and accounts payable increase spontaneously with sales. If the firm is operating at 80 percent capacity and no new debt or equity is issued, what is the external financing needed to support the 20 percent growth rate in sales? (10 points) \begin{tabular}{|l|r|} \hline Sales & $929,000 \\ Costs & 723,000 \\ Other expenses & 19,000 \\ EBIT & $187,000 \\ Interest paid & 14,000 \\ Taxable income & $173,000 \\ Taxes (35\%) & 60,550 \\ Net Income & $112,450 \\ Dividends & $33,735 \\ \hline Addition to retained earnings & $78,715 \\ \hline \end{tabular} HOPINGTON TOURS INC. Statement of Finandal Posiltion as of December 31, 2015 \begin{tabular}{|c|c|c|c|} \hline \multicolumn{2}{|l|}{ Assets } & \multicolumn{2}{|l|}{ Llabirtles and Owners Equity } \\ \hline Current assets & & Current lichilities & \\ \hline cosh & S 25,300 & Accourts poyable & S 68,000 \\ \hline Accourts recethable & 40,700 & Notes poyable & 17,000 \\ \hline Imentory & 86,900 & Total & $85,000 \\ \hline Total & $152900 & Longterm debt & $158,000 \\ \hline Fixed ansets & & Owners equity & \\ \hline \begin{tabular}{l} Net plant and \\ equipment \end{tabular} & $113000 & \begin{tabular}{l} Common stock and poid th suppiss \\ Redaned eanings \\ Tatid \end{tabular} & \begin{tabular}{l} $140,000 \\ $322,900152900 \end{tabular} \\ \hline Totd assets & $565900 & \begin{tabular}{l} Tatal \\ Totad lobilities and owners equaty \end{tabular} & $565,000$32,900 \\ \hline \end{tabular}

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