Orion Corporation Balance Sheet

Orion Corporation Balance Sheet                           Year0

Cash                                   $400        Accounts Payable   `$                 150

Accounts Receivable         250       Accrued Wages                             1,000

Inventory                            1,200      Notes Payable                            500

Net fixed Assets                 6,000      Common Stock                           3,200

Retained Earnings               3,000

Totals Assets                 $7,850       Total Liabilities $ Equity            $ 7,850

Orion Corporation has just developed a new type of microchip. 

Orion expects sales will quadruple, from $5,000 in year0 to $20,000 in year1 (next year). This is expected to result in a net income of $4,000 in Year 1.  Orion pays 80% of their net income in dividends. Orion has a plenty of excess capacity and believe that they will not need any additional fixed assets to achieve the increase in sales for year1. 

Will Orion need any additional funding for year1?

Will Orion Need any additional funding for YEAR1? If so how much?  

If not how much excess do they have?  Show all work.