Problem $15-6$ Spreadsheet Problem: AFN with Lumpy Assets $($LG$15-4)$

Suppose that Wall$-$E Corporation currently has the balance sheet shown below, and that sales for the year just ended were $$6\mathrm{.}4$

nillion. The firm also has a profit margin of $20$ percent and a retention ratio of $25$ percent and expects sales of $$8\mathrm{.}4$ million next year.

$-$ixed assets are currently fully utilized, and the nature of Wall$-$E$\text{'}$s fixed assets is such that they must be added in $$1$ million increments.

f current assets and current liabilities are expected to grow with sales, what amount of additional funds will Wall$-$E need from external

sources to fund the expected growth?

Vote: Enter your answer in dollars not in millions. Round your answer to the nearest whole dollar.

Additional funds needed