Solution
Preeta answered on
Dec 22 2021
BALANCE SHEET
Your Company Name
Balance Sheet
For Years Ending X0 - X5
X0 X1 X2 X3 X4 X5
Assets
Cash $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000
Marketable Securities $ 1,262,000 $ 1,262,000 $ 1,262,000 $ 1,262,000 $ 1,262,000 $ 1,262,000
Accounts Receivable $ 192,000 $ 197,760 $ 203,693 $ 209,804 $ 216,098 $ 222,581 3% 3
Inventory $ 420,000 $ 493,920 $ 580,850 $ 683,080 $ 803,301 $ 944,683
Other Assets $ 150,000 $ 3,277,531 $ 6,486,022 $ 13,283,609 $ 26,945,401 $ 53,559,823 50% 50
Total Cu
ent Assets $ 2,124,000 $ 5,331,211 $ 8,632,565 $ 15,538,492 $ 29,326,800 $ 56,089,086
Property $ - 0 $ 500,000 $ 1,000,000 $ 1,500,000 $ 2,000,000 $ 2,500,000
Plant $ - 0 $ 2,000,000 $ 2,000,000 $ 2,000,000 $ 2,000,000 $ 2,000,000
Equipment $ 2,000,000 $ 3,000,000 $ 3,000,000 $ 3,000,000 $ 3,000,000 $ 3,000,000
Accumulated Depreciation $ (200,000) $ (992,000) $ (1,984,000) $ (2,976,000) $ (3,968,000) $ (4,960,000)
Total Fixed Assets $ 1,800,000 $ 4,508,000 $ 4,016,000 $ 3,524,000 $ 3,032,000 $ 2,540,000
Total Assets $ 3,924,000 $ 9,839,211 $ 12,648,565 $ 19,062,492 $ 32,358,800 $ 58,629,086
Liabilities and Equity
Accounts Payable $ 154,000 $ 158,620 $ 163,379 $ 168,280 $ 173,328 $ 178,528 3% 3
Notes Payable $ - 0 $ - 0 $ - 0 $ - 0 $ - 0 $ - 0
Other Cu
ent Liabilities $ 50,000 $ 50,500 $ 51,005 $ 51,515 $ 52,030 $ 52,551 1% 1
Total Cu
ent Liabilities $ 204,000 $ 209,120 $ 214,384 $ 219,795 $ 225,359 $ 231,079
Mortgages $ - 0 $ 2,000,000 $ 1,985,293 $ 1,970,219 $ 1,954,767 $ 1,938,930
Other Non-Cu
ent Liabilities $ - 0 $ - 0 $ - 0 $ - 0 $ - 0 $ - 0 0% - 0
Total Non-Cu
ent Liabilities $ - 0 $ 2,000,000 $ 1,985,293 $ 1,970,219 $ 1,954,767 $ 1,938,930
Total Liabilities $ 204,000 $ 2,209,120 $ 2,199,677 $ 2,190,014 $ 2,180,126 $ 2,170,009
Common Stock $ 100,000 $ 3,100,000 $ 3,100,000 $ 3,100,000 $ 3,100,000 $ 3,100,000
Paid in Capital $ 3,400,000 $ 3,400,000 $ 3,400,000 $ 3,400,000 $ 3,400,000 $ 3,400,000
Treasury Stock $ - 0 $ - 0 $ - 0 $ - 0 $ - 0 $ - 0
Retained Earnings $ 220,000 $ 1,130,091 $ 3,948,888 $ 10,372,479 $ 23,678,674 $ 49,959,077
Total Equity $ 3,720,000 $ 7,630,091 $ 10,448,888 $ 16,872,479 $ 30,178,674 $ 56,459,077
Total Liabilities and Equity $ 3,924,000 $ 9,839,211 $ 12,648,565 $ 19,062,492 $ 32,358,800 $ 58,629,086
ACCT 522 KAREEM TANNOUS DR. BOYLAN
INCOME STATEMENT
Your Company Name
Income Statement
For Years Ending X0 - X5
X0 X1 X2 X3 X4 X5
Sales $ 1,690,000 $ 3,210,662 $ 6,099,616 $ 11,588,050 $ 22,014,977 $ 41,824,053
Cost of Goods Sold $ 780,000 $ 803,400 $ 827,502 $ 852,327 $ 877,897 $ 904,234
Gross Profit $ 910,000 $ 2,407,262 $ 5,272,114 $ 10,735,723 $ 21,137,080 $ 40,919,820
Interest Revenue - Corp Bonds $ - 0 $ 14,148 $ 14,148 $ 14,148 $ 14,148 $ 14,148
Net Income From Operations $ 910,000 $ 2,421,410 $ 5,286,262 $ 10,749,871 $ 21,151,228 $ 40,933,968
Depreciation Expense $ - 0 $ 992,000 $ 992,000 $ 992,000 $ 992,000 $ 992,000
Salaries Expense $ - 0 $ 30,000 $ 33,000 $ 36,300 $ 39,930 $ 43,923 10% 10
Interest Expense $ - 0 $ 197,757 $ 191,417 $ 184,419 $ 176,695 $ 168,168
Miscellaneous Expense $ - 0 $ 50,000 $ 55,000 $ 60,500 $ 66,550 $ 73,205 10% 10
Operating Expenses $ 640,000 $ 1,269,757 $ 1,271,417 $ 1,273,219 $ 1,275,175 $ 1,277,296
Net Income Before Tax $ 270,000 $ 1,151,653 $ 4,014,845 $ 9,476,652 $ 19,876,054 $ 39,656,672
Taxes $ 86,850 $ 391,562 $ 1,346,047 $ 3,203,062 $ 6,719,858 $ 13,526,268
Interest Revenue - Muni Bonds $ - 0 $ 460,000 $ 460,000 $ 460,000 $ 460,000 $ 460,000
Net Income $ 183,150 $ 1,220,091 $ 3,128,797 $ 6,733,590 $ 13,616,195 $ 26,590,403
169
ACCT 522 KAREEM TANNOUS DR. BOYLAN
STATEMENT OF R.E.
Your Company Name
Statement of Retained Earnings
For Years Ending X0 - X5
X0 X1 X2 X3 X4 X5
Retained earnings, January 1 $ 220,000 $ 1,130,091 $ 3,948,888 $ 10,372,479 $ 23,678,674
Add: Net Income $ 1,220,091 $ 3,128,797 $ 6,733,590 $ 13,616,195 $ 26,590,403
Less: Dividends $ 310,000 $ 310,000 $ 310,000 $ 310,000 $ 310,000
Retained Earnings, December 31 $ 220,000 $ 1,130,091 $ 3,948,888 $ 10,372,479 $ 23,678,674 $ 49,959,077
ACCT 522 KAREEM TANNOUS DR. BOYLAN
CASH FLOW
Your Company Name
Cash Flow Statement
For Years Ending X0 - X5
Cash Flow from Operations X0 X1 X2 X3 X4 X5
Net Income $ 1,220,091 $ 3,128,797 $ 6,733,590 $ 13,616,195 $ 26,590,403
Depreciation Expense
Increase in Accounts Receivable $ 5,760 $ 5,933 $ 6,111 $ 6,294 $ 6,483
Increase in Accounts Payable $ 4,620 $ 4,759 $ 4,901 $ 5,048 $ 5,200
Increase in Inventories $ 73,920 $ 86,930 $ 102,230 $ 120,222 $ 141,381
Marketable Securities $ - 0 $ - 0 $ - 0 $ - 0 $ - 0
Other Assests $ 3,127,531 $ 3,208,491 $ 6,797,587 $ 13,661,792 $ 26,614,422
Other Liabilities $ 500 $ 505 $ 510 $ 515 $ 520
Net Operating Cash $ (1,991,240) $ (176,810) $ (176,728) $ (176,645) $ (176,562)
Cash Flow from Investing
Equipment Purchase $ 300,000 $ - 0 $ - 0 $ - 0 $ - 0
Land Purchase $ 500,000 $ 500,000 $ 500,000 $ 500,000 $ 500,000
Net Investing Cash $ 800,000 $ 500,000 $ 500,000 $ 500,000 $ 500,000
Cash Flow from Financing
Issuance of Mortgage $ 2,000,000 $ - 0 $ - 0 $ - 0 $ - 0
Dividend Payments $ 310,000 $ 310,000 $ 310,000 $ 310,000 $ 310,000
Net Financing Cash $ 2,310,000 $ 310,000 $ 310,000 $ 310,000 $ 310,000
Free Cash Flow $ ...