Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Maxwell Smart STRONG Suggestion - Completely fill in Common Size numbers Points INCOME STATEMENT FY 12/31 Common Size Assumptions Common Size 2022 2023E Revenue 13,00,00,000
Maxwell Smart | STRONG Suggestion - Completely fill in Common Size numbers | Points | ||||||||||||||||
INCOME STATEMENT | ||||||||||||||||||
FY 12/31 | Common Size | Assumptions | Common Size | |||||||||||||||
2022 | 2023E | |||||||||||||||||
Revenue | 13,00,00,000 | 100.0% | Revenue 25% | 15,60,00,000 | 15,60,00,000 | 100.0% | ||||||||||||
Cost of Goods Sold | 5,85,00,000 | 45.0% | 0.0% | 1.5 | ||||||||||||||
Gross Profit | 7,15,00,000 | 55.0% | G. Margins 1.0% | 0.0% | 2.0 | |||||||||||||
Sales and Marketing (S&M) | 2,60,00,000 | 20.0% | S&M 1.0% (CSB) | 0.0% | 2.0 | |||||||||||||
General and Admin | 1,43,00,000 | 11.0% | G&A improves 1.0% (CSB) | 0.0% | 2.0 | |||||||||||||
Research and Development | 50,00,000 | 3.8% | R&D $500,000 ($ value) | 0.0% | 2.0 | |||||||||||||
Depreciation and Amortization | 50,00,000 | 3.8% | D&A Stable ($ value) | 0.0% | 1.5 | |||||||||||||
Total Operating Costs | 5,03,00,000 | 38.7% | 0.0% | 2.5 | ||||||||||||||
Operating Income | 2,12,00,000 | 16.3% | - | 0.0% | 2.0 | |||||||||||||
Interest Income | 3,50,000 | 0.3% | Approx 3.5% of Avg. Cash | 14,00,000 | 14,00,000 | 0.9% | ||||||||||||
Interest Expense | 7,15,000 | 0.6% | 8.5% of Total Installment Debt Obligations | 0.0% | 3.0 | |||||||||||||
0.0% | ||||||||||||||||||
Pre Tax Income | 2,08,35,000 | 16.0% | 0.0% | 2.5 | Orig Shrs | 1,10,00,000 | ||||||||||||
Tax (35%) | 43,75,350 | 3.4% | 21% | 0.0% | 1.5 | Added | ||||||||||||
Net Income | 1,64,59,650 | 12.7% | 0.0% | 2.0 | Proceeds | |||||||||||||
Bought from Mkt | ||||||||||||||||||
EPS - Basic | $ 1.50 | 2.5 | Net shares | |||||||||||||||
EPS - Diluted | 15.0 | |||||||||||||||||
Shares Outstanding | 1,10,00,000 | 1,10,00,000 | 1,10,00,000 | |||||||||||||||
Shares Outstanding for Diluted | 15.0 | |||||||||||||||||
5 mil common stock warrants exercisable @ $4.60. Stock price for calculations = $5.00 | 57.0 |
BALANCE SHEET | CASH FLOW STATEMENT | ||||||||||||
12/31/22 | 12/31/23E | Projected | |||||||||||
Cash | 50,00,000 | 3.5 | 2023E | ||||||||||
A/R (Avg Collec Period = 30 days) | 1,06,84,932 | Collec period = 30 days | 3.0 | Net Income | 1,64,59,650 | 2.0 | |||||||
Inventory (Days Inv. Held = 45) | 72,12,329 | Days Inv = 40 days | 3.0 | Depreciation | 1.0 | ||||||||
Other | 50,00,000 | $1,000,000 | 2.0 | ||||||||||
Total Current Assets | 2,78,97,260 | 2.0 | A/R | 1,06,84,932 | 2.5 | ||||||||
Inventory | 72,12,329 | 2.5 | |||||||||||
PP&E (see note below) | 5,00,00,000 | No change | 2.0 | Other | 50,00,000 | 2.0 | |||||||
Less Accumulated Depreciation | 50,00,000 | PP&E 10 yr SLD | 2.0 | A/P | 1,00,00,000 | 2.0 | |||||||
Net PP&E | 4,50,00,000 | 1.0 | Accrued Liabs | 13,86,000 | 2.0 | ||||||||
Total Cash flow from Ops | - | 2.5 | |||||||||||
Other | 50,00,000 | No change | 2.0 | ||||||||||
PP&E | 4,50,00,000 | 2.0 | |||||||||||
Total Assets | 7,78,97,260 | 3.0 | Other | ||||||||||
Accounts Payable | 1,00,00,000 | 10% ($ value) | 2.0 | Financing | 2.0 | ||||||||
Current portion of LTD | 20,00,000 | No change | 1.5 | ||||||||||
Accrued Liabilities | 13,86,000 | No change | 1.5 | Net Cash Flow | 2.5 | ||||||||
Total Current Liabilities | 1,33,86,000 | 2.0 | 23.0 | ||||||||||
LTD | 90,00,000 | $1 Mil paid off on 1/1/22 | 2.0 | 125.0 | |||||||||
Total Liabilities | 2,23,86,000 | 2.5 | |||||||||||
Common Stock | 1,000 | No change | 1.5 | ||||||||||
Addl PIC | 99,99,000 | No change | 1.5 | ||||||||||
Retained Earnings | 4,55,11,260 | 2.5 | |||||||||||
Shareholder's Equity | 5,55,11,260 | 2.5 | |||||||||||
Total Equity and Liabilities | 7,78,97,260 | 2.0 | B = 80 and up | ||||||||||
45.0 | |||||||||||||
Average collection Period = Accounts Receiable Average Daily Sales | |||||||||||||
Average Daily Sales = Sales 365 | - |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started