Problem 4-24 Calculating EFN [LO2) The most recent financial statements for Crosby, Inc., follow. Sales for 2018 are projected to grow by 20 percent. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, fixed assets, and accounts payable increase spontaneously with sales. CROSBY, INC. 2017 Income Statement Sales Costs Other expenses $753,000 588,000 24,000 $ 141,000 Earnings before interest and taxes Interest paid 20,000 Taxable income Taxes (25%) $ 121,000 30,250 Net income $ 90,750 $28,133 Dividends Addition to retained earnings 62,617 CROSBY, INC. Balance Sheet as of December 31, 2017 Assets Liabilities and Owners' Equity Current assets Current liabilities Cash $ 21,240 Accounts payable $ 55,400 Accounts receivable 44,180 Notes payable 14,600 Inventory 97,960 Total $ 70,000 Total $ 163,380 Long-term debt $ 136,000 Fixed assets Net plant and equipment $429,000 Owners' equity Common stock and paid-in surplus Retained earnings $ 117,500 268,880 Total $386,380 Total assets $592,380 Total liabilities and owners' equity $592,380 If the firm is operating at full capacity and no new debt or equity is issued, what external financing is needed to support the 20 percent growth rate in sales? (Do not round intermediate calculations.) EFN