PLEASE READ ALL OF THESE INSTRUCTIONS: You will need to refer to the MOD #7 HW, as well as the reading and your notes in order to figure out the solutions to this comprehensive problem. The Check My Work option may be used up to three times but there will be a one-time, 5% score reduction if you choose to use it. Scores & feedback will not be made available for this problem until sometime after the due date and time. ASSUMPTIONS: the increase in Sales percentage will be assumed to apply only to the COGS on the Income Statement, with the other items assumed to be fixed costs. Deprec & Amort, Change in Operating Assets, Change in Current Liabilities, & Dividends Paid are constant (i.e., same as last year). Net Additions to Property, Change to Other Assets, & Change in Long-term debt are $0.

Amounts are in thousands of dollars (except number of shares and price per share):

Kiwi Fruit Company Balance Sheet
Cash and equivalents	$	570
Operating assets		650
Property, plant, and equipment		2,700
Other assets		110
Total assets	$	4,030
Current liabilities	$	920
Long-term debt		1,280
Other liabilities		120
Total liabilities	$	2,320
Paid in capital	$	340
Retained earnings		1,370
Total equity	$	1,710
Total liabilities and equity	$	4,030

Kiwi Fruit Company Income Statement
Net sales	$	7,800
Cost of goods sold		(5,900	)
Gross profit	$	1,900
Operating expense		(990	)
Operating income	$	910
Other income		105
Net interest expense		(200	)
Pretax income	$	815
Income tax		(285	)
Net income	$	530
Earnings per share	$	2.00
Shares outstanding		265,000
Recent price	$	34.50

Kiwi Fruit Company Cash Flow Statement
Net income	$	530
Depreciation and amortization		175
Changes in operating assets		(90	)
Changes in current liabilities		(120	)
Operating cash flow	$	495
Net additions to properties	$	180
Changes in other assets		(80	)
Investing cash flow	$	100
Issuance/redemption of long-term debt	$	(190	)
Dividends paid		(220	)
Financing cash flow	$	(410	)
Net cash increase	$	185

Prepare a pro forma income statement, balance sheet, and cash flow statement for Kiwi Fruit assuming a 10 percent increase in sales. (Leave no cells blank - be certain to enter "0" wherever required. Negative amounts should be indicated by a minus sign. Input all amounts as thousands of dollars. Round earnings per share to 2 decimal places. Omit the "$" sign in your response.)

Kiwi Fruit Company Pro Forma Income Statement
Net sales	$
Cost of goods sold
Gross profit	$
Operating expense
Operating income	$
Other income
Net interest expense
Pretax income	$
Income tax
Net income	$
Earnings per share	$
Shares outstanding

Kiwi Fruit Company Pro Forma Cash Flow Statement
Net income	$
Depreciation and amortization
Changes in operating assets
Changes in current liabilities
Operating cash flow	$
Net additions to property	$
Changes in other assets
Investing cash flow	$
Issuance/redemption of long-term debt	$
Dividends paid
Financing cash flow	$
Net cash increase	$

Kiwi Fruit Company Pro Forma Balance Sheet
Cash and equivalents	$
Operating assets
Property, plant, and equipment
Other assets
Total assets	$
Current liabilities	$
Long-term debt
Other liabilities
Total liabilities	$
Paid in capital	$
Retained earnings
Total equity	$
Total liabilities and equity	$