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In June of 2 0 1 5 , Hank bootstrapped a technology - based business in the garage of their home in West Vancouver. He
In June of Hank bootstrapped a technologybased business in the garage of their home in
West Vancouver. He wanted to work with other socially conscious entrepreneurs. They have
become increasingly successful; last year's revenues were about $ million. They expect to do
better than that next year. Peggy works hours a week in the business and takes a salary of
$ annually. They each take dividends from the corporate account of about $
year.
Their accountant has instructed them to maximize their contributions to their RRSPs which are
now: Peggy: $ Hank: $ They also have a joint investment account with us
valued at $ They have a corporate account Hill Holdings LT that has only cash in it:
$ CAD and $ USD. Many clients pay in US funds, and their accountant has
instructed them to keep it in that currency. They purchased a lot in Hawaii valued currently at
$ USD and want to build on it in the next three or four years. In the meantime, they are
strategizing ways to get a townhouse at Whistler.
They are planning to sell the business later this year. With the growth trajectory they currently
have, the calibre of the staff they currently employ and projections for future revenue, Hill has
had an estimate from a CPA friend of his that the business and its intellectual property is $
million USD.
Additional information:
They are paying a mortgage of a $ CAD home with a remaining balance of $ and
monthly payments of $
They both have student loans: Peggy $ CAD and Hank $
They own two vehicles: VW Tiguan $ CAD and BMW i $ CAD
Calculate:
Net Worth
Cash Flow
is valid to make assumptions that would make sense
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