55. Vinnys Pizza has just come out with a new pizza that Joe is sure will cause sales to double between 2015 and 2016. Using the following worksheet, complete Vinnys pro forma financial forecast and answer the related questions.

You may assume that COGS, current assets, and current liabilities will maintain the same percentage of sales as in 2015. Furthermore, you may assume that no new fixed assets will be needed in 2016, and the current dividend policy will be continued in 2016. Will Joe be able to get by without any additional funds needed in 2016? If not, how much will he need?

Vinnys Pizza, Inc.

Financial Status and Forecast

	2015	Estimate for 2016
Sales	$ 10,000
COGS	4,000
Gross Profit	6,000
Fixed Expenses	3,000
Before-Tax Profit	3,000
Tax @ 33.33%	1,000
Net Profit	$ 2,000
Dividends	$ 0
Current Assets	$ 25,000
Net Fixed Assets	15,000
Total Assets	$ 40,000
Current Liabilities	$ 17,000
Long-Term Debt	3,000
Common Stock	7,000
Retained Earnings	13,000
Total Liabilities and Equity	$ 40,000
Additional Fund needed (AFN)=