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The most recent financial statements for Summer Tyme, Inc., are shown here: Income Statement Balance Sheet Sales $3,800 Current assets $4,200 Current liabilities $860 Costs

The most recent financial statements for Summer Tyme, Inc., are shown here:

Income Statement Balance Sheet
Sales $3,800 Current assets $4,200 Current liabilities $860
Costs

2,500

Fixed assets 6,300 Long-term debt 3,680
Taxable income $1,300 Equity 5,960
Taxes (31%) 403 Total

$10,500

Total

$10,500

Net income

$897

Assets, costs, and current liabilities are proportional to sales. Long-term debt and equity are not. The company maintains a constant 40 percent dividend payout ratio. As with every other firm in its industry, next year's sales are projected to increase by exactly 25 percent.

Required:

What is the external financing needed? (Do not round your intermediate calculations.)

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