Balance Sheet (Actual) December 31, 2008 (Pro Forma) December 31, 2009 Comments $500,000 2,000,000 4,000,000 $6,500,000 $ 1,000,000 $7,500,000

Consider the Industrial Supply Company example (Table 4.4-attached)) again. Assume that the company plans to maintain its dividend payments at the same level in 2009 as in 2008. Also assume that all of the additional financing needed is in the form of short-term notes payable. Determine the amount of additional financing needed and pro forma financial statements (that is, balance sheet, income statement, and selected financial ratios) for2009 under each of the following conditions: