Please calculate the values needed to forecast the sales, variable costs, fixed costs, and net income for the next year using the forecasting assumptions provided.

Then, determine the impact on the balance sheet by projecting the dividends paid and resulting impact on other components of the balance sheet.

Finally, determine the amount of Additional Funds needed in the next year.

This year Next Year Forecasting Assumption

Sales 100 _____ Sales will grow 20%

Variable Costs 50 _____ Constant % of Sales

Fixed Costs 40 ______ Remains same

= Net Income 10 _______

Dividends 5 ______ Keep 50% Payout Ratio

Current Assets 60 _____ Constant % of sales

Fixed Assets 100 ______ Remains same

Total Assets 160 _______

Current Liabs. 20 ______ Constant % of sales

Long-term Debt 20 _______ Remains same

Common Stock 20 ______ Remains same

Retained Earns. 100 _______

Tot Liabs & Eq 160 _______

AFN = __________