Construct Albert Retail Co's Pro Forma Income Statement and Balance Sheet for Years 1 to 3 under the following policies:

COGS+SG&A+Depreciation = 60% of Revenue

Dividend Payout = 50%

Current Assets = 40% of Revenue

Net Fixed Assets = 60% of Revenue

Current Liabilities = 70% of Current Assets

Corporate Tax Rate = 21%

	Year
	0 (2018)	1	2	3
Revenue	150.0	195.0	253.5	253.5
COGS+SG&A+Depreciation	90.0
EBIT	60.0
Tax (21%)	12.6
Net Income	47.4
Dividends	23.7
Addition to Retained Earnings	23.7
Current Assets	60.0
Net Fixed Assets	90.0
Total Assets	150.0
Current Liabilities	42.0
Long-Term Liab - Debt	30.0
Owners' Equity	78.0
Total Liabilities and Owners' Equity	150.0
Assets Liabilities &Owners Equity	0.0

What would you do for Year 2?

Question 19 options:

	Nothing, there will be an excess of cash for $20
	Finance shortfall with Notes Payable for $20
	Finance shortfall with Notes Payable for $8.7
	Nothing, there will be an excess of cash for $8.7