Use the following information and the percent-of-sales method to answer the following question(s). Below is the 2020 year-end balance sheet for Banner, Inc. Sales for 2020 were $1,600,000 and are expected to be $2,000,000 during 2021. In addition, we know that Banner plans to pay $90,000 in 2021 dividends and expects projected net income of 4% of sales. All assets are expected to increase proportionately with sales. Only current liabilities are expected to increase proportionately with sales. Banner, Inc. Balance Sheet December 31, 2020 Assets Current assets $890,000 Net fixed assets 1,000,000 Total $1,890,000 Liabilities and Owners' Equity Accounts payable $160,000 Accrued expenses 100,000 Notes payable 700,000 Long-term debt 300,000 Total liabilities 1,260,000 Common stock (plus paid-in capital) 360,000 Retained earnings 270,000 Common equity 630,000 Total 1,890,000 Banner's projected additional financing needed for 2021 is:

A. $420,500.

B. $430,500.

C. $360,500.

D. $370,500 .