CC1-1 (Algo) Financial Statements for a Business Plan [LO 1-2, LO 1-3] [The following information applies to the questions displayed below.] Nicole Mackisey is thinking of forming her own spa business, Nicole's Getaway Spa (NGS). Nicole expects that she and two family members will each contribute $10,000 to the business and receive 1,000 shares each. Nicole forecasts the following amounts for the first year of operations, ending December 31, 2021: Cash on hand and in the bank, $2,350; amounts due from customers from spa treatments, $1,800; building and equipment, $72,000; amounts owed to beauty supply outlets for spa equipment, $4,680; notes payable to a local bank for $39,070. Cash dividends of $4,000 will be paid to the stockholders during the year. Nicole also forecasts that first-year sales revenues will be $47,200; wages will be $25,000; the cost of supplies used up will be $8,000; office expenses will be $6,000; and income taxes will be $1,800. CC1-1 (Algo) Part 1 Required: 1. Based on Nicole's estimates, prepare a (forecasted) income statement for Nicole's Getaway Spa for the year ended December 31, 2021. 1. Based on Nicole's estimates, prepare a (forecasted) income statement for Nicole's Getaway Spa for the year ended December 31 , 2021. 2. Prepare a (forecasted) statement of retained earnings for Nicole's Getaway Spa for the year ended December 31,2021. 3. Prepare a (forecasted) balance sheet for Nicole's Getaway Spa at December 31, 2021. CC1-1 (Algo) Financial Statements for a Business Plan [LO 1-2, LO 1-3] [The following information applies to the questions displayed below.] Nicole Mackisey is thinking of forming her own spa business, Nicole's Getaway Spa (NGS). Nicole expects that she and two family members will each contribute $10,000 to the business and receive 1,000 shares each. Nicole forecasts the following amounts for the first year of operations, ending December 31, 2021: Cash on hand and in the bank, \$2,350; amounts due from customers from spa treatments, $1,800; building and equipment, $72,000; amounts owed to beauty supply outlets for spa equipment, $4,680; notes payable to a local bank for $39,070. Cash dividends of $4,000 will be paid to the stockholders during the year. Nicole also forecasts that first-year sales revenues will be $47,200; wages will be $25,000; the cost of supplies used up will be $8,000; office expenses will be $6,000; and income taxes will be $1,800. CC1-1 (Algo) Part 4 4. Are creditors or stockholders expected to supply most of the financing for NGS's assets at December 31, 2021? Creditors Stockholders
