Income Statement and Balance for 2019 and you will have to forecast an Income Statement, Balance Sheet and Cash Flow for 2020. Below is the 2019 Income Statement and Balance Sheet data you will be using to complete your forecast. Notes for Forecasting 2020: Sales are estimated to be $80,000 in 2020 Assume the following: COGS and $5,000 of the Operating Expenses are Variable Depreciation and the Remainder of the Operating Expenses are Fixed The firm will maintain its dividend payout ratio this year Cash, Accounts Receivable, Inventories, Net Plant, Accounts Payable and Accrued Payables are Spontaneous Market Securities, Bonds Payable and Common Stock are Discretionary $2,500 of Bonds Payable are Current and Will be Repaid at the Beginning of the Year Income Statement For the Year Ended December 31, 2019 Sales 70,000 COGS 45,000 Gross Profit 25,000 Operating Expenses 8,000 Depreciation 5,000 13,000 EBIT 12,000 Interest Expense 1,300 EBT 10,700 Tax Expense 2,247 Earning After Taxes 8,453 Dividends 3,000 Addition to Retained Earnings 5,453 Balance Sheet December 31, 2019 Cash 8,000 Marketable Securities 2,000 Accounts Receivable 10,000 Inventories 6,000 Plant, Net 20,000 Total Assets 46,000 Accounts Payable 7,000 Accrued Payables 3,000 Bonds Payable 10,000 Common Stock 15,000 Retained Earnings 11,000 46,000 External Financing - Total Liabilities and Equity 46,000