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Suppose that the 2013 actual and 2014 projected financial statements for Comfy Corners Catbeds are initially as shown. In these tables, sales are projected to rise by 22 percent in the coming year, and the components of the income statement and balance sheet that are expected to increase at the same 22 percent rate as sales are costs except depreciation, depreciation, cash, accounts receivable, inventories, net plant and equipment, accounts payable, and accruals.

Income Statement
	2013 Actual			2014 Forecast
Sales	$	4,000,000		$	4,880,000
Costs except depreciation		2,600,000			3,172,000
Depreciation		1,000,000			1,220,000
EBIT	$	400,000		$	488,000
Interest		198,000			198,000
EBT	$	202,000		$	290,000
Taxes (40%)		80,800			116,000
Net income	$	121,200		$	174,000
Common dividends	$	60,600		$	60,600
Addition to retained earnings	$	60,600		$	113,400

Balance Sheet
	2013 Actual			2014 Forecast
Assets
Cash	$	600,000		$	732,000
Accounts receivable		137,000			167,140
Inventories		1,013,000			1,235,860
Total current assets	$	1,750,000		$	2,135,000
Net plant and equipment		5,000,000			6,100,000
Total assets	$	6,750,000		$	8,235,000
Liabilities and Equity
Accounts payable	$	179,000		$	218,380
Notes payable		980,000			980,000
Accruals		375,000			457,500
Total current liabilities	$	1,534,000		$	1,655,880
Long-term debt		1,000,000			1,000,000
Total debt	$	2,534,000		$	2,655,880
Common stock	$	4,000,000		$	4,000,000
Retained earnings		216,000			329,400
Total common equity	$	4,216,000		$	4,329,400
Total liabilities and equity	$	6,750,000		$	6,985,280

Assuming that Comfy Corners Catbeds wants to cover the AFN with half equity, 25 percent long-term debt, and the remainder from notes payable, what amount of additional funds will be needed if debt carries a 10 percent interest rate? (Round intermediate calculations and final answer to the nearest whole dollar amount.)

Additional funds needed

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