Meltzer Electronics estimates that its total fi nancing needs for the coming year will be $34.5 million. During the coming fi scal year, the fi rm’s required fi nancing payments on its debt-and-equity...

Meltzer Electronics estimates that its total fi nancing needs for the coming year will be $34.5 million. During the coming fi scal year, the fi rm’s required fi nancing payments on its debt-and-equity fi nancing will total $12.9 million. The fi rm’s fi nancial manager estimates that operating cash fl ows for the coming year will total $33.7 million and that the following changes will occur in the accounts noted. Account Forecast Change Gross fi xed assets $8.9 million Change in current assets 2.3 million Change in accounts payable 1.3 million Change in accrued liabilities 0.8 million a. Use Equation 2.3 and the data provided to estimate Meltzer’s free cash fl ow in the coming year. b. How much of the free cash fl ow will the fi rm have available as a source of new internal fi nancing in the coming year? c. How much external fi nancing will Meltzer require during the coming year to meet its total forecast fi nancing need?