Income Statement Sales $46,500 Cost $ 38,780 Net Income $7,720 Balance Sheet Assets $20, 500 Total $ 20, 500 Debt Equity $6,500 Total $20, 500 The

Income Statement

Sales   $46,500

Cost   $ 38,780

Net Income   $7,720

Balance Sheet 

Assets $20, 500

Total $ 20, 500

Debt Equity $6,500

Total $20, 500

The company has predicted a sales increase of 14 percent. Assume Fire pays out half or net income in the form an of cash divided. Costs and assets vary with sales, but debt and equity do not. 

Pro Forma Income Statement 

Sales $6, 510

Costs 5429.20

Net Income $ 1080.8

Pro Forma Balance Sheet

Assets $ 2,870

Total $ 2,870

Debt $ 910

Equity $1,960

Total 2,870

Determine the external financing needed? (Negative amount should be indicated by a minus sign.)

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