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Assuming a 5% Increase in Sales ($ in millions) 2021 2020 2019 2018 2017 2016 Assets Cash and equivalents $ 1,451 $ 1,382 $ 1,316 $ 1,254 $ 1,194 $ 1,137 Accounts receivable, net $ 1,358 $ 1,293 $ 1,232 $ 1,173 $ 1,117 $ 1,064 Inventories $ 5,697 $ 5,426 $ 5,168 $ 4,922 $ 4,687 $ 4,464 Other current assets $ 495 $ 472 $ 449 $ 428 $ 407 $ 388 Net property, plant and equipment $ 3,294 $ 3,137 $ 2,988 $ 2,846 $ 2,710 $ 2,581 Goodwill $ 2,113 $ 2,113 $ 2,113 $ 2,113 $ 2,113 $ 2,113 Other assets $ 2,331 $ 2,331 $ 2,331 $ 2,331 $ 2,331 $ 2,331 Finance group assets $ 1,280 $ 1,280 $ 1,280 $ 1,280 $ 1,280 $ 1,280 Total Assets $ 18,020 $ 17,434 $ 16,877 $ 16,345 $ 15,840 $ 15,358 Liabilities and Shareholders' Equity Short-term debt and current portion of long-term debt $ 463 $ 441 $ 420 $ 400 $ 381 $ 363 Other current liabilities $ 4,505 $ 4,291 $ 4,086 $ 3,892 $ 3,707 $ 3,530 Other liabilities $ 2,354 $ 2,354 $ 2,354 $ 2,354 $ 2,354 $ 2,354 Long-term debt $ 2,414 $ 2,414 $ 2,414 $ 2,414 $ 2,414 $ 2,414 Total Shareholders' Equity $ 5,574 $ 5,574 $ 5,574 $ 5,574 $ 5,574 $ 5,574 Total Liabilities and Shareholders' Equity $ 16,434 $ 16,197 $ 15,972 $ 15,757 $ 15,553 $ 15,358 External Financing Needs $ 1,586 $ 1,237 $ 905 $ 588 $ 287 $ 0 Having estimated the future financing need, management must identify the target sources (e.g., banks, insurance companies, public debt markets, public equity markets) and establish financial policies that will ensure access on acceptable terms:

1. Does the company have assured access to the debt markets? What are the target sources and what are their criteria for lending?

2. Does the company have assured access on acceptable terms to the equity markets? Is there a market for the shares? How many shares could be sold and at what price? Are management and/or the controlling shareholders willing to issue additional shares?

3. Does the company have assets that could be sold to raise funds? At what price and how quickly could the assets be sold under ideal conditions? under adverse conditions?

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