Long$-$Term Financing Needed

At year$-$end $2019,$ Wallace Landscaping$$s total assets were $$1\mathrm{.}85$ million, and its accounts payable were $$360,000.$ Sales, which in $2019$ were $$2\mathrm{.}4$ million, are expected to increase by $30\%$ in $2020.$ Total assets and accounts payable are proportional to sales, and that relationship will be maintained. Wallace typically uses no current liabilities other than accounts payable. Common stock amounted to $$515,000$ in $2019,$ and retained earnings were $$370,000.$ Wallace has arranged to sell $$190,000$ of new common stock in $2020$ to meet some of its financing needs. The remainder of its financing needs will be met by issuing new long$-$term debt at the end of $2020.($Because the debt is added at the end of the year, there will be no additional interest expense due to the new debt.$)$ Its net profit margin on sales is $7\%,$ and $60\%$ of earnings will be paid out as dividends.

$1.$ What was Wallace's total long$-$term debt in $2019?$ Do not round intermediate calculations. Enter your answer in dollars. For example, an answer of $$2$ million should be entered as $2,000,000.$ Round your answer to the nearest dollar. $$605,000($correct answer$)$

$2.$ What were Wallace's total liabilities in $2019?$ Do not round intermediate calculations. Enter your answer in dollars. For example, an answer of $$2$ million should be entered as $2,000,000.$ Round your answer to the nearest dollar. $$965,000($correct answer$)$

$3.$ How much new long$-$term debt financing will be needed in $2020?($Hint: AFN $-$ New stock $=$ New long$-$term debt.$)$ Do not round intermediate calculations. Enter your answer in dollars. For example, an answer of $$2$ million should be entered as $2,000,000.$ Round your answer to the nearest dollar. $$774,640($incorrect answer$)$

Solve $3$