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Vour company had the followire balance sheet for 2007 . Now assume that in 2007 , the company reported sales of $20 million, net income of $400,000, and dividends of $300,000. Also assume that (1) the company anticipates its sales will increase 20 percent in 2008. 1(2) its dividend payout will remain at 75 percent, and (3) the company is at full capacity, and that all of its assets and spontaneous liabilities will increase proportionately with an increase in sales. Finally, assume the company uses the AFN formula and all additional funds needed (AFN) will come from issuing new long-term debt. Given its forecast, and ignoring financing feedback effects, determine how much long-term debt the company will need to issue in 2008. $500,000 $510,000 $470,000 $490,000 $480,000