Please help to answer the following questions.

Use the financial statements/asset size you received for your group to determine what type of organizational structure you will create for your business. Explain the organization structure of your development/construction firm.

• Is the firm a single entity?
• Is it two entities with a common ownership?
• What is the formal and legal ownership of the firm?
• What is the justification for your entity choice?

$1,965.767.78 $4,039.991.71 $959.836.96 $86,764.92 $298.254.42 $54,228.08 $203,355.29 18.13% 37.25% 8.85% 0.80% 2.75% 0.50% 1.88% BALANCE SHEET Assets Current Assets Cash and Securities Accounts Receivable Retainage Inventory Earnings in Excess of Billings Prepaid Expenses Other Current Assets Total Current Assets Long Term Assets Property Construction Equipment Vehicles Office Equipment Total Fixed assets Depreciation Net Fixed Assets Other Assets Total Long Term (Fixed) Assets TOTAL ASSETS $7,608,199.15 70.15% 22.60% 31.40% 4.70% 0.60% $2.451,109.06 $3,405,523.21 $509,743.92 $65,073.69 $6,431,449.89 $3,438,060.06 $2.993,389.83 $244,026.34 Use this for your FA newness ratio -31.70% 2.25% 100.00% $3,237,416.18 $10,845,615.33 29.85% 100.00% $244.026.34 $2,207,082.72 $357.905.31 $1,014.065.03 $75,919.31 $67.242.82 2.25% 20.35% 3.30% 9.35% 0.70% 0.62% $3,966,241.53 36.57% Current Liabilities Notes Payable Accounts Payable Retainage (Subcontracts) Billings in Excess of Earnings Income Taxes Payable Other Current Laibilities Total Current Liabilities Long Term Liabilities Mortgages Equipment/Vehicle Financing Other Liabilities Total Long Term Liabilities Liabilities Owners Equity Stock Retained Earnings Total Owners Equity Liabilities & Owners Equity $639,891.30 $1.057.447.49 $214,743.18 5.90% 9.75% 1.98% $1,912,081.98 $5,878,323.51 17.63% 54.20% $2.895.779.29 $2,071,512.53 26.70% 19.10% 100.00% S4,967,291.82 $10,845,615.33 45.80% 100.00% INCOME STATEMENT Percentage Markup on Direct Costs (1) Sales Revenue Direct Costs Materials Labor Subcontract Equipment Miscellaneous Gross Profit Overhead $36,447,011.89 $31,807,307.28 $5.434.249.47 $4.778,203.26 $16.255,367.30 $2.113,926.69 $3.225,560.55 $4,639,704.61 Percentage of Sales 100.00% 87.27% 14.91% 13.11% 44.60% 5.80% 8.85% 12.73% 100.0% 17.1% 15.0% 51.1% 6.6% 10.1% 14.6% 13% $9,111.75 $31,891.14 $29,613.20 $91,117.53 $45,558.76 $9,111.75 $216,404.13 $22,779.38 $11,389.69 $22,779.38 $54,670.52 $111.618.97 $136,676.29 $91,117.53 $227.793.62 $41,002.69 $36,447.01 $18,223.51 $36,447.01 $132, 120.42 $27,335.26 $109,341.04 $72,194.02 $697,507.67 Indirect Costs (Project Overhead) Holidays Insurance Health Retirement Salaries-Bonus Salaries-Vacation, Sick, Other Travel Reimbursement Field Employee Benefits Depreciation Insurance Repairs and Maintenance Small Tools and Supplies Field Equipment Expenses Builder's Risk General Liability Field Insurance Expenses Field Vehicle Depreciation Field Vehicle Fuel & Oil Field Vehicle Insurance Field Vehicle Repairs and Maintenance Total Field Vehicle Expenses Field Shop Expense Field Warranty Expense Field Miscellaneous Expense Total Indirect Costs (3) General & Administrative Costs (Office Overhead) Building Insurance General Liability & Office Equipment ins Business Insurance Lease/Mortgage Repairs & Maintenance Taxes Telephone ISP/Networking Utilities Occupancy Expense Continuing Education Insurance Health Insurance-Workers Compensation Payroll taxes Retirement Salaries-Bonus Salaries-Staff Social Activities Office Employee Expenses Depreciation Lease Repairs Office Equipment Expenses Office Supplies Depreciation 0.03% 0.09% 0.08% 0.25% 0.13% 0.03% 0.59% 0.06% 0.03% 0.06% 0.15% 0.31% 0.38% 0.25% 0.63% 0.11% 0.10% 0.05% 0.10% 0.36% 0.08% 0.30% 0.20% 2.46% 0.0% 0.1% 0.1% 0.3% 0.1% 0.0% 0.7% 0.1% 0.0% 0.1% 0.2% 0.4% 0.4% 0.3% 0.7% 0.1% 0.1% 0.1% 0.1% 0.4% 0.1% 0.3% 0.2% 2.8% Fixed Variable Overhead Overhead 54,555.88 $4,565.86 $12.756.45 $19,134.68 $11,845,28 $17.767.92 $91,117.53 $18,223.51 $27,335.26 $9,111.75 $47,381.12 $169,023.02 $22,779.38 $11,389.69 $9,111.75 $13,667.63 $54,670.52 $43,280.83 $68,338.15 $136,676.29 $91,117.53 $91,117.53 $136,676.29 $41,002.89 $36,447.01 $18,223.51 $36,447.01 $59.226.39 $72,894.02 $27,335.26 $109,341.04 $72,894.02 $241,005,87 $656,501.00 (2) $0.00 $10,934.10 $9,111.75 $18,223.51 $27.335.26 $164,011.55 $27,336.26 $13,667.63 $36,447.01 $18,223.51 $259,684.96 $22.779.38 $29,613.20 $9,111.75 $91,117.53 $27,335.26 $72,994.02 $120,067.77 $18,223.51 $1,091,13242 $34,169.07 $9,111.75 $10,022.93 $53,303.75 $68,338.15 $54.670.52 0.03% 0.05% 0.08% 0.45% 0.08% 0.04% 0.10% 0.05% 0.71% 0.06% 0.08% 0.03% 0.25% 0.08% 0.20% 2.25% 0.05% 2.99% 0.09% 0.03% 0.03% 0.15% 0.19% 0.15% 0.0% 0.1% 0.1% 0.5% 0.1% 0.0% 0.1% 0.1% 0.8% 0.1% 0.1% 0.0% 0.3% 0.1% 0.2% 2.6% 0.1% 3.4% 0.1% 0.0% 0.0% 0.2% 0.2% 0.2% $9,111.75 $18,223,51 $27,335.26 $164,011.55 $27,336.26 $13,667.63 $25,512.91 $18,223.51 $248,750.86 $9,111.75 $17,767.92 $4,566.88 $41.002.89 $13,667.63 $10,934.10 $13,667.63 $11,845.28 $4,566.88 $50,114.64 $13,667.63 $72,894.02 $369,026.00 $9,111.75 $544,882.83 $451,031.77 $9,111.75 $546,249.59 $34,169.07 $4,009.17 $38,178.24 $34,169.07 $54.670.52 $9,111.75 $6,013.76 $15,125.51 $34,169.07 $6,747.26 $6,747.28 $54,670.52 $5,831.52 $11,389.69 $9,111.75 $81.003.48 $11,389.69 $13,667.63 $369,026.00 $18,223.51 3412.300.82 $23,280.53 $16.902.30 $9,667.34 $49,750.17 $18,223.51 $451,031.77 3451,031.77 $9,977.37 $7,243.14 $4,100.29 $21,321.50 $18,223.51 $136,676.29 Depreciation Fuel & Oil Insurance Repairs and Maintenance Office Vehicles Expenses Insurance-Disability Insurance Life Salaries-Officers Retirement Officers Compensation Accounting Legal Other Professional Fees Advertising Commissions Literature Promotions Sales & Marketing Expenses Meals Travel Travel & Entertainment Expenses Bad Debt Classified Advertising Contributions Dues & Subscriptions Fines & Penalties Licensing Temporary Secretarial Miscellaneous Other G&A Expenses Interest Income Miscellaneous Income Interest Expense Other Income & Expenses Total General & Administrative Costs Total Overhead Net Profit Before Tax $54,670.52 $14,578.80 $11,389.69 $9,111.75 $89,750.77 $11,389.69 $13,667.63 $620,067.77 $18,223.51 S863,338.59 $33,257.90 $24,146.15 $13,667.63 $71,071.67 $36,447.01 $136,676.29 $9,111.75 $31,891.14 $214,126.19 $16,401.16 $43,736.41 $60,137.57 $36,447.01 $27,335.26 $43,280.83 $11,389.69 $9,111.75 $9,111.75 $18,223.51 $36,447.01 $191,346.61 -$54,670.52 -$36,447.01 $54,670.52 -$36,447.01 $2.953, 119.14 $3,850,626.81 $789,077.81 0.15% 0.04% 0.03% 0.03% 0.25% 0.03% 0.04% 2.25% 0.05% 2.37% 0.09% 0.07% 0.04% 0.20% 0.10% 0.38% 0.03% 0.09% 0.59% 0.05% 0.12% 0.17% 0.10% 0.08% 0.12% 0.03% 0.03% 0.03% 0.05% 0.10% 0.53% -0.15% -0.10% 0.15% -0.10% 8.10% 10.57% 2.17% 0.2% 0.0% 0.0% 0.0% 0.3% 0.0% 0.0% 2.6% 0.1% 2.7% 0.1% 0.1% 0.0% 0.2% 0.1% 0.4% 0.0% 0.1% 0.7% 0.1% 0.1% 0.2% 0.1% 0.1% 0.1% 0.0% 0.0% 0.0% 0.1% 0.1% 0.6% -0.2% -0.1% 0.2% -0.1% 9.3% 12.1% 2.5% $9,111.75 $12.756.45 $10.091.71 $9,840.69 $26,241.85 $36,082.54 $19,134.68 $174,034.46 $6,560,46 $17,494.57 $24.066.03 $36,447.01 $16,401.16 $12,984.25 $10,934.10 $30.296.58 $11,389.69 $9,111.75 $9,111.75 $61.732.13 -$19,134.68 $16.223.51 $36,447.01 $129,614.69 $35,535.84 $36,447.01 $19,134.68 352,848.17 $1,361,068.10 $2,017,569.90 (4) (2) $35,535.84 $16,401.16 $1,592,051.04 $1,833,056.90