Suppose Super fun toys has sales of $8.9 million for the year just ended, the profit margin of the firm is 16 percent with a retention rate of 28 percent, and the firm expects sales of $9.8 million next year. If all assets and current liabilities are expected to grow with sales, what amount of additional funds will fun toys need from external sources to fund the expected growth.

Assets                                                                                                   Liabilities and Equity

Current assets             $3,500,000                                       Current liabilities         $2,400,000

Fixed assets                  $5,100,000                                                Long term debt          $2,100,000

                                                                                                               Equity                          $4,500,000

Total assets                      $8,600,000                                    Total liabilities & equity $8,600,000