Carlsbad Corporation's sales are expected to increase from $5 million in 2018 to $6 million in 2019,...

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Carlsbad Corporation'ssales are expected to increase from $5 million in 2018 to $6million in 2019, or by 20%. Its assets totaled $2 million at theend of 2019. Carlsbad is at full capacity, so its assets must growin proportion to projected sales. At the end of 2018, currentliabilities are $1 million, consisting of $250,000 of accountspayable, $500,000 of notes payable, and $250,000 of accruedliabilities. Its profit margin is forecasted to be 6%, and theforecasted retention ratio is 30%. Use the AFN equation to forecastthe additional funds Carlsbad will need for the coming year. Writeout your answer completely. For example, 5 million should beentered as 5,000,000. Round your answer to the nearest cent.
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Additional Funds Needed AFN for the coming year Expected Next Year Sales Expected Next Year Sales 6000000 After Tax profit Margin After Tax profit Margin Expected Next Year Sales x See Answer

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Carlsbad Corporation'ssales are expected to increase from $5 million in 2018 to $6million in 2019, or by 20%. Its assets totaled $2 million at theend of 2019. Carlsbad is at full capacity, so its assets must growin proportion to projected sales. At the end of 2018, currentliabilities are $1 million, consisting of $250,000 of accountspayable, $500,000 of notes payable, and $250,000 of accruedliabilities. Its profit margin is forecasted to be 6%, and theforecasted retention ratio is 30%. Use the AFN equation to forecastthe additional funds Carlsbad will need for the coming year. Writeout your answer completely. For example, 5 million should beentered as 5,000,000. Round your answer to the nearest cent.$