PLEASE USE EXCEL. (SHOW FORMULAS)

Stevens Textile Corporation's 2019 financial statements are shown below:

Balance Sheet as of December 31, 2019 (Thousands of Dollars)

Balance Sheet as of December 31, 2019 (Thousands of Dollars)
Cash	$1,080.00	Accounts payable	$4,320
Receivables	$6,480.00	Accruals	2,880
Inventories	$9,000.00	Line of credit	0
Total current assets	$16,560.00	Notes payable	2,100
Net fixed assets	$12,600.00	Total current liabilities	$9,300
		Mortgage bonds	3,500
		Common stock	3,500
		Retained earnings	12,860
Total assets	$29,160.00	Total liabilities and equity	$29,160
Income Statement for December 31, 2019 (Thousands of Dollars)
Sales	$36,000.00
Operating costs	$34,000.00
Earnings before interest and taxes	$2,000.00
Interest	$160.00
Pre-tax earnings	$1,840.00
Taxes (25%)	$460.00
Net income	$1,380.00
Dividends (40%)	$552.00
Addition to retained earnings	$828.00

Stevens grew rapidly in 2019 and financed the growth with notes payable and long-term bonds. Stevens expects sales to grow by 25% in the next year but will finance the growth with a line of credit, not notes payable or long-term bonds. Use the forecasted financial statement method to forecast a balance sheet and income statement for December 31, 2020. The interest rate on all debt is 12%, and cash earns no interest income. The line of credit is added at the end of the year, which means that you should base the forecasted interest expense on the balance of debt at the beginning of the year. Use the forecasted income statement to determine the addition to retained earnings. Assume that the company was operating at full capacity in 2019, that it cannot sell off any of its fixed assets, and that assets, spontaneous liabilities, and operating costs are expected to increase by the same percentage as sales. Determine the required line of credit. Do not round intermediate calculations. Round your answers to the nearest dollar.

Total assets: $

LOC: