1. Prepare an Income Statement. After you are completed, a corrected Income Statement should be completed by your spreadsheet automatically with only a change in any of the assumptions that will be within spreadsheet one 2. Prepare a Statement of Retained Earnings. This statement should automatically change if any of the assumptions are changed within spreadsheet one. 3. Prepare a Balance Sheet without cash yet known. Have the Balance Sheet for 12/31/14 (given in template) and 12/31/15 on the same schedule so that the differences can be easily computed for instruction 4. When you are finished, a corrected Balance Sheet for 2015 should automatically be computed by your spreadsheet with a change in any of the assumptions within spreadsheet one. 4. Prepare a Statement of Cash Flows on the direct method (do not include the indirect method of calculating operating cash flows). The Statement of Cash Flows should automatically change when any assumption is changed. The ending cash as shown on the statement of cash flows will then flow to the Balance Sheet. On spreadsheet A have only the following: Assumptions Sales - $200,000 Equipment Purchases - $20,000 Salaries per Month - $2,000 Twelve month insurance policy purchased - $18,000 Dividends paid - $2,000 Borrowings - $30,000