sales of $10.6 million. It wishes to analyze expected performance and financing needs for 2021-2 years ahead. Given the following information, respond to parts a. and b. (1) The percents of sales for items that vary directly with sales are as follows: Accounts receivable; 12.3%, Inventory, 17.6%; Accounts payable, 13.9%; Net profit margin, 2.7%. (2) Marketable securities and other current liabilities are expected to remain unchanged. (3) A minimum cash balance of $478,000 is desired (4) A new machine costing $651,000 will be acquired in 2020, and equipment costing $854,000 will be purchased in 2021. Total depreciation in 2020 is forecast as $295,000, and in 2021 $394,000 of depreciation will be taken. (5) Accruals are expected to nise to $499,000 by the end of 2021. (6) No sale or retirement of long-term debt is expected. (7) No sale or repurchase of common stock is expected (8) The dividend payout of 50% of net profits is expected to continue. (9) Sales are expected to be S11.8 million in 2020 and $11.8 million in 2021. (10) The December 31, 2019, balance sheet is here m a. Prepare a pro forma balance sheet dated December 31, 2021 b. Discuss the financing changes suggested by the statement prepared in part (a) a. Prepare a pro forma balance sheet dated December 31, 2021. Complete the assets part of the pro forma balance sheet for Peabody & Peabody for December 31, 2021 below: (Round to the nearest dollar) Pro Forma Balance Sheet O Data Table Peabody & Peabody December 31, 2021 Assets (Click on the icon located on the top-right comer of the data table below in order to copy its contents into a spreadshe Current assets Leonard Industries Balance Sheet December 31, 2019 Liabilities and Stockholders' Equity Accounts payable Accruals Other current liabilities Total current liabilities %24 Assets Cash Marketable securities Cash $399,000 $1,397,000 395,000 Marketable securities 199,000 Accounts receivable Accounts receivable 1,203,000 1,805,000 $3,606,000 3,999.000 80,300 $1,872,300 Inventories Total current assets Net fxed assets Inventories %24 Long-term debt Common stock Total liabilities and stockholders' equity 2,016,700 3,716,000 Total current assets %24 Net foxed assets Total assets $7.605,000 $7.605,000 Total assets Print Done