The most recent financial statements for Cardinal, Inc., are shown here:

Assets and costs are proportional to sales. Debt and equity are not. A dividend of $2,100 was paid, and the company wishes to maintain a constant payout ratio. Next year’s sales are projected to be $29,210. What is the external financing needed?

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Income statement Balance Sheet Sales $61,000 Debt $25,400 Assets $26,900 Costs Taxable income Taxes (21%) Net income 17,300 $ 8,100 1,701 Equity Total 34,100 Total $61,000 $61,000 $ 6,399