Given the assumptions, we are supposed to make a forecast. In the blue writing on the bottom right corner, there is more information provided.

M N O P Q Q R S T Part 2 Assumptions 25% 80% 12% 10% 35% 25% A B D F G H K L Excel Project 6 Due: November 15 by 5:30 PM Name 2 3 Part 1. Use the information provided in column H and the assumptions in column M to build a forecast income 4 statement and balance sheet for 2022. Iterate until your forecast balance sheet balances. Follow the 5 example we used in class lecture. Part 1 is worth 10 points. 6 7 7 8 Income Statement Iterations 9 2021E 2022F 2022F 2022F 2022F 10 Net Sales 12,894 11 Cost of goods sold 10,315 12 Gross profit 2,579 13 Expenses 14 Selling general, and administrative expenses 1,547 15 Net interest expense 90 16 Earnings before tax 942 17 Tax 330 18 Earnings after tax 612 19 Dividends 153 20 21 Balance Sheet Iterations 22 2021E 2022F 2022F 2022F 2022F 23 Assets 24 Current assets 25 Cash and securities 636 26 Accounts receivable 1,590 27 Inventory 2,579 28 Prepaid expenses 18 29 Total current assets 4,822 30 Net fixed assets 300 31 Total assets 5,122 32 33 Liabilities and Owners' Equity 34 Current liabilities 35 Bank loan 50 0 36 Accounts payable 904 37 CMLTD 100 38 Accrued wages 18 39 Total current liabilities 1,072 40 Long-term debt 900 41 Common stock 250 42 Retained earnings 2,900 43 Total liabilities and owners' equity ' 5,122 44 balance 0 45 46 18 45 4 Keep constant days days turnover 25 55 depreciation The company plans to spend $55 on new fixed assets and has cap ex depreciation expense of $25. days plug 32 Keep constant Keep constant Start with Oin bank loan for first iteration. Hold amortization of debt principle constant at $100 and keep accrued wages constant Long-term debt amortizes by 100 each year. No new common stock is issued nor repurchased. Use BASE for retained earnings Plug your balance in to the next iteration's bank loan if this value is positive. If negative, subtract from bank loan. Once bank loan is zero, add to marketable securities. ST M N O P Q Q R S T Part 2 Assumptions 25% 80% 12% 10% 35% 25% A B D F G H K L Excel Project 6 Due: November 15 by 5:30 PM Name 2 3 Part 1. Use the information provided in column H and the assumptions in column M to build a forecast income 4 statement and balance sheet for 2022. Iterate until your forecast balance sheet balances. Follow the 5 example we used in class lecture. Part 1 is worth 10 points. 6 7 7 8 Income Statement Iterations 9 2021E 2022F 2022F 2022F 2022F 10 Net Sales 12,894 11 Cost of goods sold 10,315 12 Gross profit 2,579 13 Expenses 14 Selling general, and administrative expenses 1,547 15 Net interest expense 90 16 Earnings before tax 942 17 Tax 330 18 Earnings after tax 612 19 Dividends 153 20 21 Balance Sheet Iterations 22 2021E 2022F 2022F 2022F 2022F 23 Assets 24 Current assets 25 Cash and securities 636 26 Accounts receivable 1,590 27 Inventory 2,579 28 Prepaid expenses 18 29 Total current assets 4,822 30 Net fixed assets 300 31 Total assets 5,122 32 33 Liabilities and Owners' Equity 34 Current liabilities 35 Bank loan 50 0 36 Accounts payable 904 37 CMLTD 100 38 Accrued wages 18 39 Total current liabilities 1,072 40 Long-term debt 900 41 Common stock 250 42 Retained earnings 2,900 43 Total liabilities and owners' equity ' 5,122 44 balance 0 45 46 18 45 4 Keep constant days days turnover 25 55 depreciation The company plans to spend $55 on new fixed assets and has cap ex depreciation expense of $25. days plug 32 Keep constant Keep constant Start with Oin bank loan for first iteration. Hold amortization of debt principle constant at $100 and keep accrued wages constant Long-term debt amortizes by 100 each year. No new common stock is issued nor repurchased. Use BASE for retained earnings Plug your balance in to the next iteration's bank loan if this value is positive. If negative, subtract from bank loan. Once bank loan is zero, add to marketable securities. ST