Current Assets/Cash	$ 15,000.00	$ 12,000.00	$ 3,000.00	Operating
Trade Investments at Fair Value	$ 36,000.00	$ 30,000.00	$ 6,000.00	Investing
Accounts Receivable , Net	$ 65,000.00	$ 35,000.00	$ 30,000.00	Operating
Merchandise Inventory	$ 105,000.00	$ 115,000.00	$ (10,000.00)	Operating
Total Assets	$ 221,000.00	$ 192,000.00	$ 29,000.00
Noncurrent Assets/ Investments in Affilate Companies	$ 161,500.00	$ 100,500.00	$ 61,500.00	Investing
Property , Plant, and Equipment -Net	$ 1,533,050.00	$ 1,128,580.00	$ 404,470.00	Investing
Intangible assets-Net	$ 95,200.00	$ 88,000.00	$ 7,200.00	Investing
Total Noncurrent Assets	$ 1,789,750.00	$ 1,317,080.00	$ 472,670.00
Total Assets	$ 2,010,750.00	$ 1,509,080.00	$ 501,670.00
Liabilities Current Liabilities/ Current Portion of long term Debt	$ 6,000.00	$ 4,500.00	$ 1,500.00	Financing
Accounts Payable	$ 87,500.00	$ 92,500.00	$ 5,000.00	Operating
Divdends Payable	$ 5,000.00	$ -	$ 5,000.00	Financing
Income Taxes Payable	$ 28,500.00	$ 30,000.00	$ (1,500.00)	Operating
Total Current Liabilities	$ 127,000.00	$ 127,000.00	$ 27,000.00
Noncurrent Liabilities/ Bonds Payable	$ 425,000.00	$ 425,000.00		Financing
Less: Discount on Bonds	$ (87,500.00)	$ (100,250.00)	$ (187,750.00)	Financing
Notes Payable	$ 52,500.00	$ 10,000.00	$ 42,500.00	Financing
Deferred Tax Liability	$ 3,750.00	$ 1,250.00	$ 2,500.00	Operating
Net Obligations under Pension Plans	$ 45,000.00	$ 22,630.00	$ 22,370.00	Operating
Total Noncurrent Liabilities	$ 438,750.00	$ 358,630.00	$ 80,120.00
Total Liabilities	$ 565,750.00	$ 485,630.00	$ 80,120.00
Shareholders' Equity	$ -
Common Stock $1 par value	$ 60,000.00	$ 50,000.00	$ 10,000.00	Financing
Additional Paid-in Capital	$ 145,000.00	$ 13,500.00	$ 131,500.00	Financing
Retained Earnings	$ 1,175,000.00	$ 781,850.00	$ 393,150.00	Operating
Deferred Compensation	$ (10,000.00)	$ (12,900.00)	$ (39,000.00)	Financing
Accumulated other Comprehensive Income	$ 75,000.00	$ 69,500.00	$ 5,500.00	Investing
Total Sharehlders' Equity	$ 1,445,000.00	$ 1,023,450.00	$ 421,550.00	Financing
The Khan Group Income Statement For the Year Ended December 31
Current Year
Sales	$ 2,212,040.00
Cost of Goods Sold	$ 1,327,224.00
Gross profit		$ 884,816.00
Selling, General, and Administrative Expense		$ 43,000.00
Unrealized Losses		$ 3,600.00
Pension Expension	$ 210,500.00
Bad Debt	$ 1,500.00
Depreciation Expense	$ 17,700.00
Amoetization Expense	$ 6,750.00
Total Operating Expense		$ 283,050.00
Income before Interest and Taxes		$ 601,766.00
Interest Expense		$ (50,100.00)
Investment Income(include gain on sale)	$ 50,000.00
Equity Earnings from Affilate Companies	$ 118,500.00
Income Before Tax		$ 720,166.00
Income Tax Expense	$ (288,066.00)
Net Income		$ 432,100.00
*This column includes the account change and not necessarily the change in cash.
(a) Accumulated depreciation and amortization are changed by depreciation or amortization expense (operating) and plant asset and intangible asset disposals (investing).
(b) Retained earnings changes by net income or loss (operating) and dividends paid (financing).
(c) Undistributed equity income is reported as an adjustment in cash flows from operating activities
Cash Collected From Customers	Amount
Sales
Less: Increase in Accounts Receivable
Less: Bad debt expense
Cash Collected From Customers
Cash Paid for Merchandise	Amount
Cost of Goods Sold
Deduct: Decrease in Inventory
Purchases (Accrual Basis)
Add: Decrease in Accounts Payable
Cash Paid for Merchandise
Cash Paid to Other Suppliers and Employees	Amount
Selling, General and Administrative Expenses
Less: Stock-based compensation
Add: Cash paid for pension funding
Cash Paid to Other Suppliers and Employees
Cash Paid for Interest	Amount
Interest Expense
Less: Discount amortization
Cash Paid for Interest
Cash Collected from Investment Income	Amount
Cash dividends from equity investments in affiliate companies
Add: Investment income
Less: Gain on sale included in investment income
Cash collected from investment income
Cash Paid for Income Taxes	Amount
Income Tax Expense
Add: Decrease in tax payable
Less: Increase in deferred tax liability
Cash Paid for Income Taxes