6. The term additional funds needed (AFN), is generally defined as:

a. Funds that are obtained automatically from routine business transactions.

b. Funds that a firm must raise externally from non-spontaneous sources, i.e., through borrowing or by selling a new stock, to support operations.

c. The amount of assets required per dollar of sales.

d. The amount of internally generated cash in a given year minus the amount of cash needed to acquire the new assets needed to support growth.

e. A forecasting approach in which the forecasted percentage of sales for each balance sheet account is held constant.