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What is the external financing need if sales increase

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The 2012 balance sheet of Bianchi brickyards, which is operating at full capacity, reported current assets of $8,790, net fixed assets of $29,400, current liabilities of $3,705, long-term debt of $13,200, common stock of $15,000 and retained earnings of $6,285. Bianchi's income statement reported net sales of $23,600, EBIT of $5,390, taxable income of $5,260 and net income of $3,420. The firm pays no dividends. Assume assets, costs and current liabilities vary with sales. What is the external financing need if sales increase by 8 percent? -$935 -$668 $187 $488 $706

Reference no: EM13977732

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