Due to a change in demand for its products, Navet Ltd is expecting to expand hugely in the year starting today. Up until now, fixed assets have only been utilised at 80 percent of total capacity. Therefore the chief financial officer needs to determine what additional funds Navet Ltd will need to raise by the end of the current year. Navet's sales, last year, were \\( \\$ 95 \\) million and the expected growth rate for sales in the current year is 45 percent. All sales are credit sales, Navet Ltd's net profit margin is 8 percent, and 40 percent of net profit after tax (NPAT or NI) will be paid out as a dividend. Navet Ltd faces, in the coming year, two severe restrictions on its flexibility: the company's debt ratio must not exceed \55 and the current ratio may not fall below 2 . The balance sheet of Navet Ltd for the year that ended this morning is: The balance sheet of Navet Ltd for the year that ended this morning is: Required: Please note that you are NOT required to create or work with a pro-forma balance sheet. Instead, please use the AFN equation method (employing the standard simplifying assumptions concerning fixed assets) to answer the following: (a) With respect to the fact that fixed assets are currently being utilised at 80 percent of capacity, compute the values of \\( A^{*} \\) and \\( L^{*} \\). (3 marks) (b) Calculate any figures relating to Fixed Assets required for bringing this lumpy asset into the AFN equation. (2 marks) (c) Use the AFN equation to calculate any additional funds needed by the end of the year. (8 marks) (d) What will be the figure for Total Assets in the pro-forma balance sheet for the coming year? [Note: You are NOT required to furnish this balance sheet!] (2 marks) (e) Given that Navet Ltd prefers to take on short-term debt first, and issuing new equity is its least-favoured source of funding, calculate the value of funds that will have to be raised from each of these sources: (i) Short-term Debt (ii) Long-term Debt (ii) The issue of new shares. (9 marks)