Final answer:
Wahoo Corporation would theoretically require $264,000 in external financing based on the calculation of increased assets and retained earnings. However, since this option is not provided, there seems to be either an error in the question or a lack of information to provide the correct answer.
Step-by-step explanation:
The Wahoo Corporation needs $346,500 of external financing:
The Wahoo Corporation expects sales to increase by 50%, as they are rising from $3 million to $4.5 million. Assuming the company maintains the same sales-to-assets ratio, total assets need to increase by 50% to support the new sales level. The 50% increase on $1,140,000 of assets requires additional assets of $570,000. Net income contributes to this through the retention ratio, so the amount of internally generated funds is 70% of the net income, which is $231,000 ($330,000 * 70%). The remaining required funds it must seek externally are calculated by subtracting the internally generated funds from the additional needed assets: $570,000 - $231,000 = $339,000.
Additionally, as accounts payable is a source of financing, we will need to account for the change in accounts payable. With a 50% increase in sales, if we assume the same applies to accounts payable, there would be an increase of $75,000 (50% of $150,000).