The Optical scam company has forecast a sales growth of 20 percent for next year. The current financial statements are shown below: What is pro forma balance sheet for next year? Sales $ 31,600,000 Costs 26,675,500 Taxable income $ 4,924,500 Taxes 1,723,575 Net income $ 3,200,925 Dividends $ 1,280,370 Addition to retained earnings 1,920,555 Balance Sheet Assets Liabilities and Owners' Equity Current assets $ 7,320,000 Accounts payable $ 5,688,000 Long-term debt 6,636,000 Fixed assets 20,172,000 Common stock $ 1,594,000 Accumulated retained earnings 13,574,000 Total equity $ 15,168,000 Total assets $ 27,492,000 Total liabilities and equity
The Optical scam company has forecast a sales growth of 20 percent for next year. The current financial statements are shown below: What is pro forma balance sheet for next year? Sales $ 31,600,000 Costs 26,675,500 Taxable income $ 4,924,500 Taxes 1,723,575 Net income $ 3,200,925 Dividends $ 1,280,370 Addition to retained earnings 1,920,555 Balance Sheet Assets Liabilities and Owners' Equity Current assets $ 7,320,000 Accounts payable $ 5,688,000 Long-term debt 6,636,000 Fixed assets 20,172,000 Common stock $ 1,594,000 Accumulated retained earnings 13,574,000 Total equity $ 15,168,000 Total assets $ 27,492,000 Total liabilities and equity
Chapter9: Capital Budgeting And Cash Flow Analysis
Section: Chapter Questions
Problem 20P
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The Optical scam company has
What is pro forma balance sheet for next year?
| Sales | $ 31,600,000 | |
|---|---|---|
| Costs | 26,675,500 | |
| Taxable income | $ 4,924,500 | |
| Taxes | 1,723,575 | |
| Net income | $ 3,200,925 | |
| Dividends | $ 1,280,370 | |
| Addition to retained earnings | 1,920,555 |
| Balance Sheet | |||
|---|---|---|---|
| Assets | Liabilities and Owners' Equity | ||
| Current assets | $ 7,320,000 | Accounts payable | $ 5,688,000 |
| Long-term debt | 6,636,000 | ||
| Fixed assets | 20,172,000 | ||
| Common stock | $ 1,594,000 | ||
| 13,574,000 | |||
| Total equity | $ 15,168,000 | ||
| Total assets | $ 27,492,000 | Total liabilities and equity |
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