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Regal Corp. Balance Sheet as of December 31, 2012 (All figures in dollars) 800 3,200 Cash Accounts receivable Inventory Current assets Net fixed assets Total assets 250 3,500 6,250 10,000 6,400 16,400 Notes payable Accounts payable Accruals Current liabilities Long-term debt Common stock ($0.20 par) Additional paid in capital Retained earnings Total liabilities and equity 1,100 5,100 4,500 1,200 2,600 3,000 16,400 Regal had sales revenue in 2012 of $75,000. Regal's projected net profit margin for 2013 is 4 percent and Regal plans to pay a dividend of $0.25 per share on December 31, 2013. Compute Regal sustainable growth rate for 2013 assuming that cash in 2013 will be equal to 0.4% of 2013 sales (for example, if sales = 1000, cash will be 0.4% of 1000, or 4), the average collection period for 2013 will be 24 days (assume 75% of all sales are on credit and use a 360 day year), the inventory turnover ratio for 2013 will be 10 (use COGS/Inventory and assume 2013 COGS = 80% of sales), net fixed assets will grow as a percent of sales, the 2013 current ratio will be 2.2, and Regal will issue (on July 1, 2013) 1,000 shares of additional stock in 2013 at a sale price per share of $0.15 per share. Compute and record your answer as a percent rounded to 2 decimal places (for example, record.1358934 as 13.59%). Now construct a 2013 proforma balance sheet (i.e., redo the balance sheet above) using the guidelines above and the sustainable growth rate answer you found to prove that the growth rate you computed is in fact correct. Note that if your sustainable growth rate is correct, your proforma balance sheet should balance with no outside funds (i.e., additional long-term debt, common stock or additional paid in capital) needed. Round all figures in your proforma balance sheet to whole dollars. From that proforma balance sheet, answer the questions below: 31. What is cash on Regal Corp.'s 2013 proforma balance sheet? 32. What is accounts receivable on Regal Corp.'s 2013 proforma balance sheet? 33. What is total assets on Regal Corp.'s 2013 proforma balance sheet? 34. What is total liabilities (i.e., current liabilities + long term debt) on Regal Corp.'s 2013 proforma balance sheet? 35. What is total equity (i.e., common stock + additional paid in capital + retained earnings) on Regal Corp.'s 2013 proforma balance sheet? Regal Corp. Balance Sheet as of December 31, 2012 (All figures in dollars) 800 3,200 Cash Accounts receivable Inventory Current assets Net fixed assets Total assets 250 3,500 6,250 10,000 6,400 16,400 Notes payable Accounts payable Accruals Current liabilities Long-term debt Common stock ($0.20 par) Additional paid in capital Retained earnings Total liabilities and equity 1,100 5,100 4,500 1,200 2,600 3,000 16,400 Regal had sales revenue in 2012 of $75,000. Regal's projected net profit margin for 2013 is 4 percent and Regal plans to pay a dividend of $0.25 per share on December 31, 2013. Compute Regal sustainable growth rate for 2013 assuming that cash in 2013 will be equal to 0.4% of 2013 sales (for example, if sales = 1000, cash will be 0.4% of 1000, or 4), the average collection period for 2013 will be 24 days (assume 75% of all sales are on credit and use a 360 day year), the inventory turnover ratio for 2013 will be 10 (use COGS/Inventory and assume 2013 COGS = 80% of sales), net fixed assets will grow as a percent of sales, the 2013 current ratio will be 2.2, and Regal will issue (on July 1, 2013) 1,000 shares of additional stock in 2013 at a sale price per share of $0.15 per share. Compute and record your answer as a percent rounded to 2 decimal places (for example, record.1358934 as 13.59%). Now construct a 2013 proforma balance sheet (i.e., redo the balance sheet above) using the guidelines above and the sustainable growth rate answer you found to prove that the growth rate you computed is in fact correct. Note that if your sustainable growth rate is correct, your proforma balance sheet should balance with no outside funds (i.e., additional long-term debt, common stock or additional paid in capital) needed. Round all figures in your proforma balance sheet to whole dollars. From that proforma balance sheet, answer the questions below: 31. What is cash on Regal Corp.'s 2013 proforma balance sheet? 32. What is accounts receivable on Regal Corp.'s 2013 proforma balance sheet? 33. What is total assets on Regal Corp.'s 2013 proforma balance sheet? 34. What is total liabilities (i.e., current liabilities + long term debt) on Regal Corp.'s 2013 proforma balance sheet? 35. What is total equity (i.e., common stock + additional paid in capital + retained earnings) on Regal Corp.'s 2013 proforma balance sheet

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