LGS P4-20 Integrative tree statement Proc. based post 2015 cal procesin prepara facial plume.com 2016 G L Two CUPTOR Con lowering 205 Roles De 1300 11 de S.00000 Gli 2015 in 51/00200 Operating expo 2015 5.250,000 tamalar The livica donde com os olet persistente Markable in allerdite, and.com mchanged decat trecebe, ons praksud ter conubia cang Ansam more 156.00 le purchased during the year Telefon 5110,000 Marea proforma comment for the year ended December 31, 2016 with the time of the wed LES P4-19 Integrative: Proforma statements Red Queen Restaurants wishes to prepare finas cial plans. Use the financial statements and the other information provided below to prepare the financial plans. The following financial data are al alable (1) The firm has estimated that its les for 2016 will be $900,000. (2) The firm expects to pay $35.000 in cash dividends in 2016. (3) The firm wishes to maintain a minimum cash balance of $30,000 14) Accounts receivable represent approximately 15% of annual sales. (5) The firm's ending inventory will change directly with changes in sales in 2016. 16 A new machine conting S42,000 will be purchased in 2016. Total depreciation for 2016 will be $17,000 (Accounts payable will change directly in response to changes in sales in 2016. (8) Tanes payable will equal one-fourth of the tax liability on the pro formu income statement (9) Marketable securities, other current liabilities, long-term debt, and common stock will remain unchanged 2. Prepare a pro forma income statement for the year ended December 31, 2016 using the percent of sales method b. Prepare a pro forma balance sheet dated December 31, 2016, uning the judgmental approach c. Analyze these statements, and discow the resulting external financing required. 204 PART 2 Financial Tools Hello for the Yearded Deer.2015 Sales SO Low Cost and 50.000 Le Open Net pube $100,000 Lewe Tesco Nether 50,000 Le Cash 20.000 Tom 500 Hal Queen Restaurant Deum.br 31.2015 A ilailailer aary Cash $ 12,000 Accepte 3100.000 Marble cities 15,000 Tess 20.000 Aceste ISO Odercut 5.000 10000 Total abilities 5125.000 Tel SOLO 200.000 Net Tecals $123 To SED 000 Tel 50,000 LGS P4-19 Integrative: Pro forma statements Red Queen Restaurants wishes to prepare finan cial plans. Use the financial statements and the other information provided below to prepare the financial plans The following financial data are also available: (1) The firm has estimated that its sales for 2016 will be $900,000. (2) The firm expects to pay $35,000 in cash dividends in 2016. (3) The firm wishes to maintain a minimum cash balance of $30,000. (4) Accounts receivable represent approximately 18% of annual sales. (5) The firm's ending inventory will change directly with changes in sales in 2016. (6) A new machine conting S42,000 will be purchased in 2016. Total depreciation for 2016 will be $17,000. (7) Accounts payable will change directly in response to changes in sales in 2016. (8) Taxes payable will equal one-fourth of the tax liability on the proforma 19 Marketable securities, other current liabilities, long-term debe, and common stock will remain unchanged. 2. Prepare a pro forma income statement for the year ended December 31, 2016, b. Prepare a pro forma balance sheet dated December 31, 2016, using the odgmental approach. c. Analyze these statements, and discuss the resulting external financing required, PART 2 Financial Tools Red Queen Restaurant Income Statement fere she Year Ended December 31, 2015 Sales revence $100,000 Le Cost of goods will 600,000 Grow profit 5200,000 Le Operating 100,000 Net profits before tamen $100,000 Lex Tees (40%) Net probitate 5 60,000 La Cash dividende Tonited coming $440,000 Roden Restaurant Balance Sheet December 31, 2015 Liabilities and holders' equiry Cash $ 12.000 Accounts like $100,000 Marketable securities 18.00 Taxes payable 20,000 Acconceivable 150,000 Chhe current liabilities 5,000 Inventor 100,000 Total current liabilities $125,000 Total current $300,000 Lem debet Netfonds 190,000 Total liabilities $125,000 Tecalach $450,000 Cock 150,000 Retaring 175.000 Total liabilities and ockholders $650.000 LG S P4-20 Integrative Proforma statement Provincial Imports, Inc. has emble past 2015) financial statements come statement and balance sheet below and finan cial projections for me in preparing financial plans for the coming year 2016 Brugt for the Year End Decebe 20 Low Logo Operating to 11.00 . LT New Cash Town 205 CHAPTER 4 Cat Fow wd Focal Parning Information related to financial projection for the year 2016 as follow Helena De 20 They A . Marie 225.000 Acce so Tal com $1,350,00 Nieuw Tual Other Tool 51.000.000 SINO 1.TR (1) Projected sales are $6,000,000 (2) Cost of poods sold in 2015 includes $1.000.000 in fundos (3) Operating expeme la 2015 includes $250,000 in fine mets (4) Interest expense will remain unchanged (5) The firm will pay cash dividends ago 40% of net profits strane (6) Cash and inventories will double Marketable securities, notes payabile, les term deles, and common stock will (8) Accrents receivable, accounts payable and other content liabilities will change in direct response to the change in sales 9 A new computer system in 356,000 will be purchased during the year. Tocal depreciation expeme for the year $110,000 (10) The tax rate will remain at 40% 2. Prepare a pro forma come statement for the year ended December 31, 2016, wsing the found cont date given to improve the cracy of the permales method Information related to financial projections for the year 2016 is as follows: Provincial Imports, Inc., Balance Sheet December 31, 2015 Assets Liabilities and stockholders' equity Cash $ 200,000 Accounts payable Marketable securities 225,000 Taxes payable Accounts receivable 625,000 Notes payable Inventories 500,000 Other current liabilities Total current assets $1,550,000 Total current liabilities Net fixed assets 1,400,000 Long-term debt Total assets $2,950,000 Total liabilities Common stock Retained earnings Total liabilities and equity $ 700,000 95,000 200,000 5,000 $1,000,000 500,000 $1,500,000 75,000 1,375,000 52,950,000 (1) Projected sales are $6,000,000. (2) Cost of goods sold in 2015 includes $1,000,000 in fixed costs. (3) Operating expense in 2015 includes $250,000 in fixed costs. (4) Interest expense will remain unchanged. (5) The firm will pay cash dividends amounting to 40% of net profits after taxes. (6) Cash and inventories will double. (7) Marketable securities, notes payable, long-term debt, and common stock will remain unchanged. (8) Accounts receivable, accounts payable, and other current liabilities will change in direct response to the change in sales. (9) A new computer system costing S356,000 will be purchased during the year. Total depreciation expense for the year will be $110,000. (10) The tax rate will remain at 40%. a. Prepare a pro forma income statement for the year ended December 31, 2016, using the fixed cost data given to improve the accuracy of the percent-of-sales method. b. Prepare a pro forma balance sheet as of December 31, 2016, using the informa tion given and the judgmental approach. Include a reconciliation of the retained earnings account. 6. Analyze these statements, and discuss the resulting external financing required. LGS P4-20 Integrative tree statement Proc. based post 2015 cal procesin prepara facial plume.com 2016 G L Two CUPTOR Con lowering 205 Roles De 1300 11 de S.00000 Gli 2015 in 51/00200 Operating expo 2015 5.250,000 tamalar The livica donde com os olet persistente Markable in allerdite, and.com mchanged decat trecebe, ons praksud ter conubia cang Ansam more 156.00 le purchased during the year Telefon 5110,000 Marea proforma comment for the year ended December 31, 2016 with the time of the wed LES P4-19 Integrative: Proforma statements Red Queen Restaurants wishes to prepare finas cial plans. Use the financial statements and the other information provided below to prepare the financial plans. The following financial data are al alable (1) The firm has estimated that its les for 2016 will be $900,000. (2) The firm expects to pay $35.000 in cash dividends in 2016. (3) The firm wishes to maintain a minimum cash balance of $30,000 14) Accounts receivable represent approximately 15% of annual sales. (5) The firm's ending inventory will change directly with changes in sales in 2016. 16 A new machine conting S42,000 will be purchased in 2016. Total depreciation for 2016 will be $17,000 (Accounts payable will change directly in response to changes in sales in 2016. (8) Tanes payable will equal one-fourth of the tax liability on the pro formu income statement (9) Marketable securities, other current liabilities, long-term debt, and common stock will remain unchanged 2. Prepare a pro forma income statement for the year ended December 31, 2016 using the percent of sales method b. Prepare a pro forma balance sheet dated December 31, 2016, uning the judgmental approach c. Analyze these statements, and discow the resulting external financing required. 204 PART 2 Financial Tools Hello for the Yearded Deer.2015 Sales SO Low Cost and 50.000 Le Open Net pube $100,000 Lewe Tesco Nether 50,000 Le Cash 20.000 Tom 500 Hal Queen Restaurant Deum.br 31.2015 A ilailailer aary Cash $ 12,000 Accepte 3100.000 Marble cities 15,000 Tess 20.000 Aceste ISO Odercut 5.000 10000 Total abilities 5125.000 Tel SOLO 200.000 Net Tecals $123 To SED 000 Tel 50,000 LGS P4-19 Integrative: Pro forma statements Red Queen Restaurants wishes to prepare finan cial plans. Use the financial statements and the other information provided below to prepare the financial plans The following financial data are also available: (1) The firm has estimated that its sales for 2016 will be $900,000. (2) The firm expects to pay $35,000 in cash dividends in 2016. (3) The firm wishes to maintain a minimum cash balance of $30,000. (4) Accounts receivable represent approximately 18% of annual sales. (5) The firm's ending inventory will change directly with changes in sales in 2016. (6) A new machine conting S42,000 will be purchased in 2016. Total depreciation for 2016 will be $17,000. (7) Accounts payable will change directly in response to changes in sales in 2016. (8) Taxes payable will equal one-fourth of the tax liability on the proforma 19 Marketable securities, other current liabilities, long-term debe, and common stock will remain unchanged. 2. Prepare a pro forma income statement for the year ended December 31, 2016, b. Prepare a pro forma balance sheet dated December 31, 2016, using the odgmental approach. c. Analyze these statements, and discuss the resulting external financing required, PART 2 Financial Tools Red Queen Restaurant Income Statement fere she Year Ended December 31, 2015 Sales revence $100,000 Le Cost of goods will 600,000 Grow profit 5200,000 Le Operating 100,000 Net profits before tamen $100,000 Lex Tees (40%) Net probitate 5 60,000 La Cash dividende Tonited coming $440,000 Roden Restaurant Balance Sheet December 31, 2015 Liabilities and holders' equiry Cash $ 12.000 Accounts like $100,000 Marketable securities 18.00 Taxes payable 20,000 Acconceivable 150,000 Chhe current liabilities 5,000 Inventor 100,000 Total current liabilities $125,000 Total current $300,000 Lem debet Netfonds 190,000 Total liabilities $125,000 Tecalach $450,000 Cock 150,000 Retaring 175.000 Total liabilities and ockholders $650.000 LG S P4-20 Integrative Proforma statement Provincial Imports, Inc. has emble past 2015) financial statements come statement and balance sheet below and finan cial projections for me in preparing financial plans for the coming year 2016 Brugt for the Year End Decebe 20 Low Logo Operating to 11.00 . LT New Cash Town 205 CHAPTER 4 Cat Fow wd Focal Parning Information related to financial projection for the year 2016 as follow Helena De 20 They A . Marie 225.000 Acce so Tal com $1,350,00 Nieuw Tual Other Tool 51.000.000 SINO 1.TR (1) Projected sales are $6,000,000 (2) Cost of poods sold in 2015 includes $1.000.000 in fundos (3) Operating expeme la 2015 includes $250,000 in fine mets (4) Interest expense will remain unchanged (5) The firm will pay cash dividends ago 40% of net profits strane (6) Cash and inventories will double Marketable securities, notes payabile, les term deles, and common stock will (8) Accrents receivable, accounts payable and other content liabilities will change in direct response to the change in sales 9 A new computer system in 356,000 will be purchased during the year. Tocal depreciation expeme for the year $110,000 (10) The tax rate will remain at 40% 2. Prepare a pro forma come statement for the year ended December 31, 2016, wsing the found cont date given to improve the cracy of the permales method Information related to financial projections for the year 2016 is as follows: Provincial Imports, Inc., Balance Sheet December 31, 2015 Assets Liabilities and stockholders' equity Cash $ 200,000 Accounts payable Marketable securities 225,000 Taxes payable Accounts receivable 625,000 Notes payable Inventories 500,000 Other current liabilities Total current assets $1,550,000 Total current liabilities Net fixed assets 1,400,000 Long-term debt Total assets $2,950,000 Total liabilities Common stock Retained earnings Total liabilities and equity $ 700,000 95,000 200,000 5,000 $1,000,000 500,000 $1,500,000 75,000 1,375,000 52,950,000 (1) Projected sales are $6,000,000. (2) Cost of goods sold in 2015 includes $1,000,000 in fixed costs. (3) Operating expense in 2015 includes $250,000 in fixed costs. (4) Interest expense will remain unchanged. (5) The firm will pay cash dividends amounting to 40% of net profits after taxes. (6) Cash and inventories will double. (7) Marketable securities, notes payable, long-term debt, and common stock will remain unchanged. (8) Accounts receivable, accounts payable, and other current liabilities will change in direct response to the change in sales. (9) A new computer system costing S356,000 will be purchased during the year. Total depreciation expense for the year will be $110,000. (10) The tax rate will remain at 40%. a. Prepare a pro forma income statement for the year ended December 31, 2016, using the fixed cost data given to improve the accuracy of the percent-of-sales method. b. Prepare a pro forma balance sheet as of December 31, 2016, using the informa tion given and the judgmental approach. Include a reconciliation of the retained earnings account. 6. Analyze these statements, and discuss the resulting external financing required