can someone help me? Discuss the impact of the pro forma financial statements for predicting ability to meet future expansion goals. Describe the implications of inventory costing, contingent liabilities, and revenue recognition. Identify potential issues in the interpretation of financial information, providing examples to support your ideas. Pro Forma Balance Sheet
As of December 31, 2018
Assets					Liabilities and Owners' Equity
	Current Assets:					Current Liabilities:
	Cash	7,000.00				Accounts Payable	13,905.00
	Accounts Receivable	65,706.00				Wages Payable	2,707.00
	Baking Supplies	27,850.00				Interest Payable	169
	Merchandise Inventory	229.00				Customer Deposit	800
	Prepaid Rent	1,692.00
	Prepaid Insurance	254.00
	Misc. Supplies	136.00
	Other Receivable - Insurance	560.00
	Total Current Assets		103,427.00			Total Current Liabilities		17,581.00
						Long Term Liabilities:
	Long Term/Fixed Assets:					Loan	5,000.00
	Baking Equipment	15,000.00				Total Long Term Liabilities:		5,000.00
	Accumulated Depreciation	-2,143.00
	Net Fixed assets		12,857.00			Total Liabilities:		22,581.00
						Common Stock	20,000.00
						Retained Earnings	73,703.00
						Total Equity		93,703.00
	Total Assets:		116,284.00			Total Liabilities & Equity		116,284.00

Peyton Approved Second Location

Pro Forma Income Statement For Year Ending 12/31/2018 Bakery Sales $ 261,858.00 Merchandise Sales 965.00 Total Revenues 262,823.00 Cost of Goods Sold - Baked 84,667.00 Cost of Goods Sold - Merchandise 688.00 Total Cost of Goods Sold 85,355.00 Gross Profit 177,468.00 Operating Expenses: Rent Expense 18,000.00 Wages Expense 75,000.00 Misc. Supplies Expense 2,400.00 Business License Expense 1,637.00 Misc. Expense 1,231.00 Depreciation Expense 2,143.00 Insurance Expense 1,269.00 Advertising Expense 1,240.00 Interest Expense 354.00 Telephone Expense 491.00 Total Operating Expenses: 103,765. Net Income 73,703