Lets assume some items vary directly with sales and others don't for our projection for the balance sheet. Assets $ % of sales Current assets Cash Accounts receivable Inventory Total Balance Sheet Liabilities and Owners' equity $ % of sales Current liabilities accounts payable $ 300 30% notes payable $ 100 Total $ 400 na Long-term debt 800 na $ 160 $ 440 $ 600 $ 1,200 16% 44% 60% 120% $ na Fixed assets Net plant & equipmen $ 1,800 180% na Owners' equity Common stock & paid-in surplu $ 800 Retained earnings $ 1,000 Total $ 1,800 na na Total assets $ 3,000 300% Total liabilities and equity $ 3,000 na Lets assume some items vary directly with sales and others don't for our projection for the balance sheet. Assets $ % of sales Current assets Cash Accounts receivable Inventory Total Balance Sheet Liabilities and Owners' equity $ % of sales Current liabilities accounts payable $ 300 30% notes payable $ 100 Total $ 400 na Long-term debt 800 na $ 160 $ 440 $ 600 $ 1,200 16% 44% 60% 120% $ na Fixed assets Net plant & equipmen $ 1,800 180% na Owners' equity Common stock & paid-in surplu $ 800 Retained earnings $ 1,000 Total $ 1,800 na na Total assets $ 3,000 300% Total liabilities and equity $ 3,000 na