1. The Cambridge Cartage Company has partially completed its forecast of next year's financial statements as follows. Cambridge Cartage Company Financial Plan ($000) INCOME STATEMENT BALANCE SHEET Next Year Next Year Beginning Ending faalan ? Revenue $17,220 ASSETS Cost/expenses 14,120 Total assets $12,540 $18,330 EBIT $ 3,100 LIABILITIES & EQUITY Interest Current liabilities $ 410 680 Debt 5,630 Tax Equity EAT 6,500 ? Total L&E $12,540 $18,330 The firm pays interest at 10% on all borrowings and pays a combined state and federal tax rate of 40%. Complete the forecast income statement and balance sheet. Begin by guessing at interest expense as 10% of beginning debt. 2. Lap Dogs Inc. is planning for next year and has the following summarized results so far ($000): Income Statement EBIT 236 Interest EBT Income tax EAT Balance Sheet This year Next Year Assets 582 745 Current liabilities 63 80 Debt 275 ? Equity 244 ? Total liab & equity 582 745 mar The Firm pays interest of 12% on all borrowing and is subject to an overall tax rate of 38%. It paid interest of $20,000 this year and plans a $75,000 dividend next year. Complete Lap Dog's forecast of next year's financial statements. Round all calculations to the nearest $1,000