You have been asked to forecast Orwell's additional funds needed (AFN) for next year. Assuming the firm is operating at only 50% of capacity and using the data in the table below,forecast Orwell's AFN for the coming year? Current Assets may be considered negligible.

Last year's sales = S₀

$176,000

Last year's accounts payable

$40,000

Sales growth (S)

$3,000

Last year's notes payable

$10,000

Last year's total assets = A₀*

$260,000

Last year's accruals

$10,000

Last year's profit margin = PM

0.08

Target payout ratio

0.4