Question

Smiley Corporation's current sales and partial balance sheet are shown below. This year Sales $ 10,000...

Smiley Corporation's current sales and partial balance sheet are shown below.

This year
Sales $ 10,000
Balance Sheet: Liabilities
Accounts payable $ 1,500
Notes payable $ 2,000
Accruals $ 1,000
    Total current liabilities $ 4,500
Long-term bonds $ 2,000
    Total liabilities $ 6,500
Common stock $ 1,500
Retained earnings $ 2,500
    Total common equity $ 4,000
  Total liabilities & equity $ 10,500

Sales are expected to grow by 12% next year. Assuming no change in operations from this year to next year, what are the projected spontaneous liabilities? Do not round intermediate calculations. Round your answer to the nearest dollar.

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