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Use these financial statements to answ a. LPC has decided to launch its aggressive growth program. Projected sales growth in 2022 is expected to

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Use these financial statements to answ a. LPC has decided to launch its aggressive growth program. Projected sales growth in 2022 is expected to be 40%. Assuming a constant percentage of sales, complete the Lunar Powered Corporation 2022(a) income statement and balance sheet below in the columns provided. Financial statement accounts will grow by 40% also, with the following exceptions. Assume that interest expense will increase 40% to $28,and that dividends will be 21. Also, assume that LPC is at full capacity and that this will require a 40% increase in gross fixed assets and deprecation. And, assume excess cash will decline to 0. Finally, assume that LPC will issue more Long-term debt to cover its need for additional funding. How much additional funding is needed in 2022(a)? Only enter the highlighted numbers below. Lunar Powered Corporation Income Statement ($ in millions) 2021 2022(a) 2022(b) Sales Cost of Goods 1000 1400 1400 Note: -700 0 0 2022 anticipated sales growth Gross Profit 300 1400 1400 Cost of goods Sold in 2021 is 700/1000 = Sell, Gen, Admin Expenses -130 0 0 EBITDA 170 1400 1400 Depreciation -50 EBIT 120 1400 1400 Interest -201 -28 -28 EBT 100 1372 1372 Taxes Net income Dividends 40% 40 -548.8 548.8 60 823.2 823.2 20 21 21 Addition to Retained Eamings 40 802.2 8022 40.00% 70.00%

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