LG Inc Has Done a Long-Term Forecast of Its Balance Sheet

Multiple Choice

LG Inc. has done a long-term forecast of its balance sheet. The projected total assets for the next year are $100 million. The current liabilities are projected to be $40 million and other long term liabilities are $30 million. How much net new financing is needed in the following year?

A) $18 million
B) $22 million
C) $25 million
D) $30 million