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I need help setting up the pro forma balance sheet for The Sweet Password Here is the updated income statement: Here is the balance sheet
I need help setting up the pro forma balance sheet for The Sweet Password
Here is the updated income statement:
Here is the balance sheet for The Sweet Password:
Here is the expansion plan if that is helpful:
I am not the best at numbers so this is very confusing to me.
Pro-Forma Income Statement The Sweet Password REVENUE Gross sales Less sales returns and allowances Net Sales 2021 $5,075,000 200,000 $4.875.000 2022 $5,822,500 200,000 $5,622,500 2023 $6,680.750 200.000 $6,480.750 2024 $7,666.225 200.000 $7.466.225 2025 $8,797.858 200.000 $8.597.858 COST OF SALES Beginning inventory Plus goods purchased / manufactured Total Goods Available Less ending inventory Total Cost of Goods Sold $8,065,000 1,420,000 $9.485,000 6.765,000 $2,720,000 $8.065.000 879,000 $8.944,000 6.024.000 $2,920,000 $8,065,000 930,000 $8.995,000 5,875,000 $3,120,000 $8,065.000 712,000 $8,777,000 5,457.000 $3,320,000 $8,065,000 690,000 $8,755,000 5.435,000 $3,320,000 $2.155.000 $2,702,500 $3,360,750 $4,146.225 $5.277.858 $3,220,000 18,000 15,000 5% $3,253,000 $3,220,000 18,000 15,000 5% $3,253,000 $3,220,000 18,000 15,000 5% $3,253,000 $3,220,000 18,000 15,000 5% $3,253,000 Gross Profit (Loss) OPERATING EXPENSES Selling Salaries and wages Advertising Depreciation Miscellaneous Total Selling Expenses General Administrative Rent Utilities Office supplies Licenses Total General/Administrative Expenses Total Operating Expenses $3,220,000 18,000 15,000 5% $3,253,000 300,000 12,000 40.000 1,000 $353,000 300,000 21,000 20,000 1.000 $342.000 300,000 30,000 20.000 1.000 $351,000 300.000 33.000 20.000 1.000 $354,000 300,000 33.000 20,000 1.000 $354,000 $3,606,000 $3,595,000 $3,604,000 $3.607.000 $3.607.000 $ ($1.451,000) 5,000.00 $ ($1.456,000) ($892,500) 5,000.00 $ (5897.500) ($243.250) 5,000.00 $ ($248,250) $539.225 5,000.00 $ $534,225 $1,670,857 5.000.00 $1,665,857 Net Income Before Taxes Taxes on income Net Income After Taxes Extraordinary gain or loss Income tax on extraordinary gain NET INCOME (LOSS) $291,813 10,000 $334,794 10.000 $384,144 10.000 $440.808 10.000 $505,877 10.000 ($1.174,188) ($572.706) $125,894 $965,033 $2,161,734 BALANCE SHEET The Sweet Password Business Name: Business Address: Pro-Forma Year 1: 2021 Year 2: 2022 Year 3: 2023 ASSETS $ $ $ $ $ $ $ $ $ $ Cash on hands in banks Time deposits and short-term investments Accounts Receivable (Less: Allowance for doubtful accounts) Inventories Prepayments $ $ $ $ $ $ $ $ Current Assets $ $ $ $ $ $ $ $ $ $ $ $ $ $ 0.00 $ $ $ $ 0.00 $ $ $ 0.00 $ $ 0.00 $ $ $ Net Total of Current Assets Land Buildings Furniture and equipment $ $ $ $ $ $ $ Fixed Assets $ $ $ $ $ $ $ $ (Less: Accumulated depreciation) Net Total of Fixed Assets $ $ $ $ $ 0.00 $ 0.00 0.00 $ $ $ 0.00 $ $ $ $ $ Other $ $ $ $ $ 0.00 $ Net Total of Other Assets 0.00 $ 0.00 $ 0.00 Total Assets $ 0.00 $ 0.00 $ 0.00 $ 0.00 LIABILITIES AND EQUITIES $ $ $ $ $ $ $ $ $ $ $ Accounts Payable Notes Payable Current Portion of Long-Term Liabilities Customer Deposits Taxes Payable Interest Payable $ $ $ Current Liabilities $ $ $ $ S $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 0.00 $ Total Current Liabilities Long-Term Debts (Loans) $ 0.00 $ $ 0.00 $ 0.00 $ $ $ $ Long-Term Liabilities $ $ $ $ $ $ $ $ $ $ $ 0.00 $ 0.00 $ $ Total Long-Term Liabilities Sub-Total Liabilities Paid in Capital Retained Earnings $ 0.00 $ 0.00 $ $ $ $ 0.00 $ 0.00 $ $ $ 0.00 0.00 $ Equity $ $ $ $ $ 0.00 $ $ 0.00 $ 0.00 $ 0.00 Total Equity Total Liabilities and Equity $ 0.00 $ 0.00 $ 0.00 $ 0.00 Expansion Plan - Source and Use of Funds Statement Company: Source of Funds Source Management Team Investment Line of Credit with PNC Bank (4% simple interest loan) Total Funds Committed Total Funds Required Total Funds Needed from an Equity Investor Amount $ 700,000 $ 75,000 $ 775,000 $ 1,225,000 $ 450,000 $ Use of Funds Cost Item Amount Office Facilities $ 210,000 Office and Computer Equipment $ 75,000 Staffing and Personnel $ 30,000 Sales and Marketing $ 50,000 Attorney Fees $ 15,000 Initial Inventory $ 645,000 Other (R&D and General Expenses) $ 50,000 Cash for Working Capital $ 50,000 Shortfall on Break Even Profitability During Initial Operations $ 100,000 Total Required Funds $ 1,225,000 Pro-Forma Income Statement The Sweet Password REVENUE Gross sales Less sales returns and allowances Net Sales 2021 $5,075,000 200,000 $4.875.000 2022 $5,822,500 200,000 $5,622,500 2023 $6,680.750 200.000 $6,480.750 2024 $7,666.225 200.000 $7.466.225 2025 $8,797.858 200.000 $8.597.858 COST OF SALES Beginning inventory Plus goods purchased / manufactured Total Goods Available Less ending inventory Total Cost of Goods Sold $8,065,000 1,420,000 $9.485,000 6.765,000 $2,720,000 $8.065.000 879,000 $8.944,000 6.024.000 $2,920,000 $8,065,000 930,000 $8.995,000 5,875,000 $3,120,000 $8,065.000 712,000 $8,777,000 5,457.000 $3,320,000 $8,065,000 690,000 $8,755,000 5.435,000 $3,320,000 $2.155.000 $2,702,500 $3,360,750 $4,146.225 $5.277.858 $3,220,000 18,000 15,000 5% $3,253,000 $3,220,000 18,000 15,000 5% $3,253,000 $3,220,000 18,000 15,000 5% $3,253,000 $3,220,000 18,000 15,000 5% $3,253,000 Gross Profit (Loss) OPERATING EXPENSES Selling Salaries and wages Advertising Depreciation Miscellaneous Total Selling Expenses General Administrative Rent Utilities Office supplies Licenses Total General/Administrative Expenses Total Operating Expenses $3,220,000 18,000 15,000 5% $3,253,000 300,000 12,000 40.000 1,000 $353,000 300,000 21,000 20,000 1.000 $342.000 300,000 30,000 20.000 1.000 $351,000 300.000 33.000 20.000 1.000 $354,000 300,000 33.000 20,000 1.000 $354,000 $3,606,000 $3,595,000 $3,604,000 $3.607.000 $3.607.000 $ ($1.451,000) 5,000.00 $ ($1.456,000) ($892,500) 5,000.00 $ (5897.500) ($243.250) 5,000.00 $ ($248,250) $539.225 5,000.00 $ $534,225 $1,670,857 5.000.00 $1,665,857 Net Income Before Taxes Taxes on income Net Income After Taxes Extraordinary gain or loss Income tax on extraordinary gain NET INCOME (LOSS) $291,813 10,000 $334,794 10.000 $384,144 10.000 $440.808 10.000 $505,877 10.000 ($1.174,188) ($572.706) $125,894 $965,033 $2,161,734 BALANCE SHEET The Sweet Password Business Name: Business Address: Pro-Forma Year 1: 2021 Year 2: 2022 Year 3: 2023 ASSETS $ $ $ $ $ $ $ $ $ $ Cash on hands in banks Time deposits and short-term investments Accounts Receivable (Less: Allowance for doubtful accounts) Inventories Prepayments $ $ $ $ $ $ $ $ Current Assets $ $ $ $ $ $ $ $ $ $ $ $ $ $ 0.00 $ $ $ $ 0.00 $ $ $ 0.00 $ $ 0.00 $ $ $ Net Total of Current Assets Land Buildings Furniture and equipment $ $ $ $ $ $ $ Fixed Assets $ $ $ $ $ $ $ $ (Less: Accumulated depreciation) Net Total of Fixed Assets $ $ $ $ $ 0.00 $ 0.00 0.00 $ $ $ 0.00 $ $ $ $ $ Other $ $ $ $ $ 0.00 $ Net Total of Other Assets 0.00 $ 0.00 $ 0.00 Total Assets $ 0.00 $ 0.00 $ 0.00 $ 0.00 LIABILITIES AND EQUITIES $ $ $ $ $ $ $ $ $ $ $ Accounts Payable Notes Payable Current Portion of Long-Term Liabilities Customer Deposits Taxes Payable Interest Payable $ $ $ Current Liabilities $ $ $ $ S $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ 0.00 $ Total Current Liabilities Long-Term Debts (Loans) $ 0.00 $ $ 0.00 $ 0.00 $ $ $ $ Long-Term Liabilities $ $ $ $ $ $ $ $ $ $ $ 0.00 $ 0.00 $ $ Total Long-Term Liabilities Sub-Total Liabilities Paid in Capital Retained Earnings $ 0.00 $ 0.00 $ $ $ $ 0.00 $ 0.00 $ $ $ 0.00 0.00 $ Equity $ $ $ $ $ 0.00 $ $ 0.00 $ 0.00 $ 0.00 Total Equity Total Liabilities and Equity $ 0.00 $ 0.00 $ 0.00 $ 0.00 Expansion Plan - Source and Use of Funds Statement Company: Source of Funds Source Management Team Investment Line of Credit with PNC Bank (4% simple interest loan) Total Funds Committed Total Funds Required Total Funds Needed from an Equity Investor Amount $ 700,000 $ 75,000 $ 775,000 $ 1,225,000 $ 450,000 $ Use of Funds Cost Item Amount Office Facilities $ 210,000 Office and Computer Equipment $ 75,000 Staffing and Personnel $ 30,000 Sales and Marketing $ 50,000 Attorney Fees $ 15,000 Initial Inventory $ 645,000 Other (R&D and General Expenses) $ 50,000 Cash for Working Capital $ 50,000 Shortfall on Break Even Profitability During Initial Operations $ 100,000 Total Required Funds $ 1,225,000Step by Step Solution
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