XYZ Company has assets that are traditionally 80% of sales,and its liabilities traditionally are 30% of sales.Sales for this year are $70,000 and sales for next year are projected to be $120,000 with a profit margin of 6%.No owner payout will be taken.Using the percentage of sales method,XYZ will need of additional financing.
A)$7,200
B)$30,000
C)$25,000
D)$17,800
E)No financing is required.

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The Answer of XYZ Company has assets that are traditionally 80% of sales,and its liabilities traditionally are 30% of sales.Sales for this year are $70,000 and sales for next year are projected to be $120,000 with a profit margin of 6%.No owner payout will be taken.Using the percentage of sales method,XYZ will need of additional financing.
A)$7,200
B)$30,000
C)$25,000
D)$17,800
E)No financing is required.

XYZ Company Has Assets That Are Traditionally 80% of Sales,and