Question: please answer true or false 2. The retained earnings balance reported as an equity item on the firm's balance sheet does not represent a pool

please answer true or false please answer true or false 2. The retained earnings balance reported as

2. The retained earnings balance reported as an equity item on the firm's balance sheet does not represent a pool of cash available for investment in the firm's projects, but rather records the cumulative total of all earnings not distributed to shareholders since the firm began operations. 3. The percentage of sales approach to forecasting a firm's financial statements depends on the assumption that the human beings involved with the business are likely to behave in the near term future in nearly the same way in which they have behaved in the recent past. 4. The additional funds needed (AFN) formula estimates the amount of new additional external funds needed as the amount by which the dollar amount of new assets needed exceeds expected "spontaneous asset increases and amount of retained earnings report on the firm's most recent balance sheet

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