Income statement and balance sheet

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Consider the following income statement and balance sheet. Sales $32,000 Costs $24,400 Debt, $5,800 Equity of $19,500. Assume that 50% of projected net income is paid out in dividends, debt stays the same, and equity only increases by the amount plowed back into the company after dividends are paid. Is there an external financing need? If so how much is EFN?

Reference no: EM131972546

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