vercompuung externa inancing needeu, You will construct a current year income statement in order to determine retention ratio Generally assets will increase proportionate to sales Total assets must be equal to Total Liabilities plus Total Owner's Equity Both A and C All of the above Question 14 Which of the following is TRUE about External Financing Needed? It must be positive; it cannot be negative It is generally the amount listed under "Asset Requirements in the financial planning model It can mean bringing in additional loans or selling equity. It cannot be computed until you have internal Growth Rate and Sustainable Growth Rate None of the above. Question 15 For a COMBINED common size and common base year analysis you divide all items on the balance sheet by total liabilities you divide all items on the income statement by net income you divide the dollar amounts across, using the base year dollar amount as the denominator you divide the common size percentages across, using the base year percentage as the denominator you divide all items by total owner's equity