Question: When projecting the balance sheet, what happens when the initial balance sheet yields estimated total assets greater than the sum of total liabilities and equity?

When projecting the balance sheet, what happens when the initial balance sheet yields estimated total assets greater than the sum of total liabilities and equity?

a. The company will need additional financing from external sources.

b. The company will not be able to pay for expenses in the future.

c. The company projected a loss.

d. The company has negative stockholders equity.

e. None of the above

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