The most recent financial statements for Retro Machine, Inc., follow. Sales for 2017 are projected to grow by 25 percent. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, fixed assets, and accounts payable increase spontaneously with sales.

The firm is operating at full capacity and no new debt or equity is issued. Calculate the pro forma income statement and balance sheet for the company. (Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.)

Pro Forma Income Statement
Sales	$
Costs
Other expenses
EBIT	$
Interest
Taxable income	$
Taxes (20%)
Net income	$

Pro Forma Balance Sheet
Assets				Liabilities and Owners Equity
Current assets				Current liabilities
Cash	$			Accounts payable	$
Accounts receivable				Notes payable
Inventory				Total	$
Total	$			Long-term debt	$
Fixed assets				Owners equity
Net plant and equipment	$			Common stock and paid-in surplus	$
				Accumulated retained earnings
				Total	$
Total assets	$			Total liabilities and owners equity	$

What external financing is needed to support the 25 percent growth rate in sales? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) EFN $

RETRO MACHINE, INC. 2016 Income Statement Sales Costs Other expenses Earnings before interest and taxes Interest paid Taxable income Taxes (203) Net income Dividends Addition to retained earnings $757,000 592,000 13,000 $152,000 15,000 $137,000 27,400 $109,600 $21,920 87,680 Assets Current assets Cash Accounts receivable Inventory Total Fixed assets Net plant and equipment RETRO MACHINE, INC. Balance Sheet as of December 31, 2016 Liabilities and Owners' Equity Current liabilities $ 21,640 Accounts payable 33,960 Notes payable 70,920 Total $126,520 Long-term debt Owners' equity $490,000 Common stock and paid-in surplus Accumulated retained earnings Total $616, 520 Total liabilities and owners' equity $ 55,800 15,000 $ 70, 800 $140,000 $126,000 279,720 $405, 720 $616,520 Total assets RETRO MACHINE, INC. 2016 Income Statement Sales Costs Other expenses Earnings before interest and taxes Interest paid Taxable income Taxes (203) Net income Dividends Addition to retained earnings $757,000 592,000 13,000 $152,000 15,000 $137,000 27,400 $109,600 $21,920 87,680 Assets Current assets Cash Accounts receivable Inventory Total Fixed assets Net plant and equipment RETRO MACHINE, INC. Balance Sheet as of December 31, 2016 Liabilities and Owners' Equity Current liabilities $ 21,640 Accounts payable 33,960 Notes payable 70,920 Total $126,520 Long-term debt Owners' equity $490,000 Common stock and paid-in surplus Accumulated retained earnings Total $616, 520 Total liabilities and owners' equity $ 55,800 15,000 $ 70, 800 $140,000 $126,000 279,720 $405, 720 $616,520 Total assets