Problem 3-21 Calculating EFN

The most recent financial statements for Scott, Inc., appear below. Sales for 2020 are projected to grow by 30 percent. Interest expense will remain constant; the tax rate and the dividend payout rate also will remain constant. Costs, other expenses, current assets, fixed assets, and accounts payable increase spontaneously with sales.

SCOTT, INC. 2019 Income Statement
Sales				$	746,000
Costs					581,000
Other expenses					17,000
Earnings before interest and taxes				$	148,000
Interest expense					13,000
Taxable income				$	135,000
Taxes (23%)					31,050
Net income				$	103,950
Dividends	$	31,185
Addition to retained earnings		72,765

SCOTT, INC. Balance Sheet as of December 31, 2019
Assets				Liabilities and Owners Equity
Current assets				Current liabilities
Cash	$	20,540		Accounts payable	$	54,700
Accounts receivable		43,480		Notes payable		13,900
Inventory		90,960		Total	$	68,600
Total	$	154,980		Long-term debt	$	129,000
Fixed assets				Owners equity
Net plant and equipment	$	422,000		Common stock and paid-in surplus	$	114,000
				Retained earnings		265,380
				Total	$	379,380
Total assets	$	576,980		Total liabilities and owners equity	$	576,980

If the firm is operating at full capacity and no new debt or equity is issued, what external financing is needed to support the 30 percent growth rate in sales? (Do not round intermediate calculations.)