Please show work for this question. Please answer question 1. Please use this information to answer the question. A = assets, S = current sales, L = accounts payable and accrued wages and taxes, M = net income / sales. d = dividends / net income. DS = projected increase in sales, S1 = projected sales. See Table 1 for 1992.

1. To begin, consider the percentage of sales formula used to determine external funds needed External funds = needed Required ncrease in - Spontaneous ncrease in liabilities Increase in retained earnings assets EFN - (A/S)DS (L/S)DS MS,(1 -d) Here, A/SAssets/Sales required dollar increase in assets per $1 increase in sales L/SSpontaneous liabilities/Salesspontaneously generated financing per $1 increase in sales STotal sales projected for next year (Slast year's sales) DS-Change in sales S -So M Profit margin dDividend payout ratio Use this equation to calculate Space-Age's EFN for 1993 1. To begin, consider the percentage of sales formula used to determine external funds needed External funds = needed Required ncrease in - Spontaneous ncrease in liabilities Increase in retained earnings assets EFN - (A/S)DS (L/S)DS MS,(1 -d) Here, A/SAssets/Sales required dollar increase in assets per $1 increase in sales L/SSpontaneous liabilities/Salesspontaneously generated financing per $1 increase in sales STotal sales projected for next year (Slast year's sales) DS-Change in sales S -So M Profit margin dDividend payout ratio Use this equation to calculate Space-Age's EFN for 1993