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Broussard Skateboard's sales are expected to increase by 15% from $8.4 million in 2016 to $9.66...

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Finance

Broussard Skateboard's sales are expected to increase by 15%from $8.4 million in 2016 to $9.66 million in 2017. Its assetstotaled $3 million at the end of 2016. Broussard is already at fullcapacity, so its assets must grow at the same rate as projectedsales. At the end of 2016, current liabilities were $1.4 million,consisting of $450,000 of accounts payable, $500,000 of notespayable, and $450,000 of accruals. The after-tax profit margin isforecasted to be 3%, and the forecasted payout ratio is 75%. Usethe AFN equation to forecast Broussard's additional funds neededfor the coming year. Round your answer to the nearest dollar. Donot round intermediate calculations.

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