The Towson Company has a simple balance sheet for the fiscal year ending 12/31/2012, in thousands:

Cash $100 Accounts payable $600

Receivables 500 Short-term loan 100

Inventory 800 Current liabilities $700

Current assets $1,400 Long-term debt 5,000

Net fixed assets 10,000 Common equity 5,700

Total assets $11,400 Total liabilities and equity $11,400

Sales were $15 million in 2012. Consider the following assumptions:

Sales are expected to grow at an annual rate of 10 percent for both 2013 and 2014.

Property, plant, and equipment are expected to remain the same as in 2012.

Long-term debt is expected to remain the same as in 2012.

Any new financing must be carried out by selling additional equity interests.

Construct Towsons balance sheets for 2013 and 2014, completing the following:

As of

12/31/2012 12/31/2013 12/31/2014

Cash $100

Receivables 500

Inventory 800

Current assets $1,400

Net fixed assets 10,000

Total assets $11,400

Accounts payable 600

Short-term loan 100

Current liabilities $700

Long-term debt 5,000

Common equity 5,700

Total liabilities and equity $11,400

Be sure to list any additional assumptions you made in your analysis.