Jim's Espresso expects sales to grow by 10.0% next year. Assume that Jim's pays out 90% of its net income. Use the following statements and the percent of sales method to forecast:

a. Stockholders' equity

b. Accounts payable

The Tax Cuts and Jobs Act of 2017 temporarily allows 100% bonus depreciation (effectively expensing capital expenditures). However, we will still include depreciation forecasting in this chapter and in these problems in anticipation of the return of standard depreciation practices during your career.

1: Data Table

Click on the icons located on the top-right corners of the data tables below to copy their contents into a spreadsheet.

Income Statement			Balance Sheet
Sales	$200,000		Assets
Costs Except Depreciation	(100,000)		Cash and Equivalents	$15,000
EBITDA	$100,000		Accounts Receivable	2,000
Depreciation	(6,000)		Inventories	4,000
EBIT	$94,000		Total Current Assets	$21,000
Interest Expense (net)	(400)		Property, Plant, and Equipment	10,000
Pre-tax Income	$93,600		Total Assets	$31,000
Income Tax	(32,760)
Net Income	$60,840		Liabilities and Equity
			Accounts Payable	$ 1 comma 500$1,500
			Debt	4 comma 0004,000
			Total Liabilities	$ 5 comma 500$5,500
			Stockholders' Equity	25 comma 50025,500
			Total Liabilities and Equity	$ 31 comma 000$31,000