Directions: Chris Tracey wants to open a music store named Paisley Perfect. Using the given information, complete the following steps to determine his personal net worth, calculate startup costs, calculate amount of additional startup capital needed, identify sources of both debt and eq- uity capital, and decide what type of additional capital is best for his business. Startup Costs Chris Tracey's Personal Financial Information Computers 3,000 Cash 10,000 Cash register 1,500 Credit Card Debt 4,210 Accounting Fees 1,200 Stock Investments 3,550 Supplies 500 Music Equipment 2,140 Tables/display ca 4,500 Car Loan 7,770 Inventory 11,500 School loan 5,200 Printer 200 Checking Account 12,000 Legal fees 1,000 Paint 350 Marketing fees 3,000 Step 1: Create a Personal Financial Statement In the table provided below, complete a personal financial statement for Chris Tracey. Be sure to calculate net worth in the bottom row. Assets: PERSONAL FINANCIAL STATEMENT Chris Tracey Liabilities: Total Assets: Total assets Total liabilities O Total Liabilities: Net worth Step 2: Calculate Business Startup Costs In the table provided below, calculate startup costs for Paisley Perfect. STARTUP COSTS Paisley Perfect Item Estimated Cost Equipment and Supplies Subtotal Furniture and Fixtures Subtotal Inventory Subtotal Remodeling Subtotal Fees Subtotal Total Needed: Step 3: Calculate Additional Business Startup Capital Needed In the table provided below, calculate additional startup capital for Paisley Perfect. Paisley Perfect Total Startup Costs Less Owner's Equity Additional Startup Capital Needed Step 4: Identify Sources of Equity and Debt Capital In the chart provided below, list at least 3 sources for both equity and debt capital. Equity Capital the profits of a business.) Debt Capital that the money will be repaid within a certain time 9 0 1 2 23 24 25 26 27 28 Step 5: Decide what Type of Additional Capital is Best In the space provided below, write a well composed 5-7 sentence paragraph explaining what type of additional capital you would pursue and why. Make certain to support your answer. For example: I would recommend Chris pursue debt capital in the form of a long-term loan because