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The most recent statement of financial position and statement of comprehensive income of Lucky Inc. are shown here: Statement of Financial Position Recent Recent ASSETS

The most recent statement of financial position and statement of comprehensive income of Lucky Inc. are shown here:

Statement of Financial Position

Recent

Recent

ASSETS

LIABILITIES & OWNERS EQUITY

Current Assets

Current Liabilities

Cash

$1,500

A/P

$2,000

Acc./Receiv.

2,500

Notes/Pay.

3,000

Inventory

2,000

Total

5,000

Total

6,000

LT Debt

2,000

Fixed Assets

Owners Equity

Net PP&E

8,000

Com Shares

2,900

Total Assets

14,000

RE

4,100

Total

7,000

Total L & OE

14,000

Statement of Comp. Income

Sales

7,000

Costs

3,000

EBT

4,000

Taxes (40%)

1,600

Net Income

2,400

Dividends

900

Add. To RE

1500

Generate the pro forma statements for the next year based on the assumption that the growth rate is 15%. Calculate the external financing needed. Assume the plan is to keep the retention rate constant, and the A/P, the fixed assets, and the current assets grow at the same rate as the Sales growth rate, which is 15%.

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