The most recent financial statements for Kerch, Inc., are shown here (assuming no income taxes):

Assets and costs are proportional to sales. Debt and equity are not. No dividends are paid. Next year’s sales are projected to be $8,424. What is the external financing needed?

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Balance sheet income statement $21,700 Debt Sales $7,200 Assets $ 9,100 Costs 4,730 Equity Total 12,600 Net income Total $2,470 $21,700 $21,700