Maria Gutierrez and Devin Cuncan recently graduated from the some university. After graduation they decided not to seek jobs at established organizations but, rather, to start their own small business hoping they could hove more flexibility in their personal lives for o few yeors. Maria's family hos opersted Mexican restaurants and taco trucks for the post two generations, and Maria noticed there were no taco truck services in the town where their university wos locoted. To reduce the amount they would need for an initial investment, they decided to start a business operating a taco cart rather than a toco truck, from which they would cook and serve traditional Mexican-style street food. They bought a used toco cart for $17,000. This cost, along with the cost for supplies to get started, a business license, and street vendor license brought their initial expenditures to $23,000. They withdrew $4,000 from personal sovings they had accumulated by working port time during college, and they borrowed \$17,000 from Maria's porents. They agreed to poy interest on the outstanding loon bolance each month bosed on an annual rate of 4 percent. They will repsy the principal over the next few years as cosh becomes ovailable. They were able to rent spoce in a porking lot near the compus they hod attended, believing that the students would welcome their food as an alternative to the typical fast food that wos currently ovoilable. After two months in business, September and October, they hod overoge monthly revenues of $27,000 and out-of-pocket costs of $22,000 for rent, ingredients, poper supplies, and so on, but not interest. Devin thinks they should repoy some of the money they borrowed, but Maria thinks they should prepare a set of forecasted financial statements for their first year in business before deciding whether or not to repsy any principal on the loon. She remembers a bit obout budgeting from a survey of accounting course she took ond thinks the results from their first two months in business con be extended over the next 10 months to prepore the budget they need. They estimate the cort will last at least five years, after which they expect to sell it for $4,000 and move on to something else in their lives. Moris agrees to prepore o forecosted (pro formo) income statement, bolance sheet, and stotement of cosh flows for their first yeor in business, which includes the two months alreody possed. Required a. Prepore the snnusl pro forma financial statements that you would expect Maris to prepare bosed on her comments about her expectations for the business. Assume no principol will be repaid on the losn. Complete this question by entering your answers in the tabs below. Prepare the budgeted balance sheet. Note: Amounts to be deducted should be indicated by a minus sign