Larime Corp. is forecasting 20X2 near the end of 20X1. The estimated year-end financial statements and a worksheet for the forecast are given below.

Management expects the following next year.

• An 9% increase in revenue.
• Price cutting will cause the cost ratio (COGS/sales) to deteriorate (increase) by 2% (of sales) from its current level.
• Expenses will increase at a rate that is three quarters of that of sales.
• The current accounts will increase proportionately with sales.
• Net fixed assets will increase by $5 million.
• All interest will be paid at 12%.
• Federal and state income taxes will be paid at a combined rate of 43%.

Make a forecast of Larime's complete income statement and balance sheet. Enter your dollar answers in thousands. For example, an answer of $12 thousands should be entered as 12, not 12,000. Round percentage values to 1 decimal place. Enter all amounts as a positive numbers.

Larime Corp. Projected Income Statement ($000)
	20X1				20X2
	$		%		$	%
Revenue	$245,876		100.0		$	100.0
COGS	145,794		59.3
Gross Margin	$100,082		40.7		$
Expenses	49,578		20.2
EBIT	$50,504		20.5		$
Interest (12%)	9,579		3.9
EBT	$40,925		16.6		$
Inc Tax (43%)	17,598		7.2
Net Income	$23,327		9.4		$

Larime Corp. Projected Balance Sheet ($000)
	ASSETS			LIABILITIES & EQUITY
	20X1	20X2		20X1	20X2
C/A	$179,157	$	C/L	$83,574	$
F/A	133,478		Debt	77,648
Total	$312,635	$	Equity	151,413
			Total	$312,635	$