Spontaneous funds are generally defined as follows:Answer Assets required per dollar of sales.A forecasting approach in which the forecasted percentage of salesfor each item is held constant.Funds that a firm must raise externally through short-term orlong-term borrowing and/or by selling new common or preferredstock.Funds that arise out of normal business operations from itssuppliers employees and the government and they includeimmediate increases in accounts payable accrued wages and accruedtaxes.The amount of cash raised in a given year minus theamount of cash needed to finance the additional capitalexpenditures and working capital needed to support the firmsgrowth.
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