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The most recent financial statements for Kerch, Incorporated, are shown here (assuming no income taxes): Income Statement Balance Sheet Sales $ 4,500 Assets $ 15,300
The most recent financial statements for Kerch, Incorporated, are shown here (assuming no income taxes):
Income Statement | Balance Sheet | ||||
---|---|---|---|---|---|
Sales | $ 4,500 | Assets | $ 15,300 | Debt | $ 10,300 |
Costs | 3,450 | Equity | 5,000 | ||
Net income | $ 1,050 | Total | $ 15,300 | Total | $ 15,300 |
Assets and costs are proportional to sales. Debt and equity are not. No dividends are paid. Next year's sales are projected to be $5,970.
What is the external financing needed?
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