Please use excel I need to make sure my calculations are correct please show the formulas and have a great day!

PLX Mortgage has completed the following projections for a forecast to be based on its 2018 financial statements. Please prepare the items requested below for this project.

1. Complete a 5-year financial forecast for the company consisting of pro-forma income statements, balance sheets and Additional Funds Needed. You may assume the following:

Revenues will grow at rate of 25% per year over the 5-year forecast period.

Cost of Goods Sold and G&A Expenses will maintain their current percentage of sales during the forecast period.

Taxes can be calculated at a rate of 33%, and the dividend payout ratio will be maintained at 45%.

The following balance sheet items can be forecasted as a percentage of sales: Cash, Accounts Receivable, Inventory, Pre-paid Expenses, Net Fixed Assets, Accounts Payable and Accrued Taxes and Wages, and will maintain their current percentage of sale during the forecast period.

Notes Payable are assumed to remain constant at current levels and Long-Term Debt can be forecasted as 75% of Net Fixed Assets. You may further assume an interest rate of 8% on both the Notes Payable and the Long Term Debt.

Assume any External Funding Needed will be in the form of additional Common Equity contributions (compared to the current level) by the owners of the business.

2. Using the above assumptions, determine the total external funding needed each year.

3. What is the incremental external funding needed each year?

PLX Mortgage Company 2018 Financial Statements

Income Statement ($1,000) 2018

Revenues 7,500

Cost of Goods Sold 4,125

Gross Profit 3,375

General and Admin Expenses 1,500

EBIT 1,875

Interest Expense 450

EBT 1,425

Taxes (33%) 470

Net Income 955

Dividends (45%) 430

Earnings Avail to Common Shareholders 525

Balance Sheet ($1,000) 2018

Assets Cash 450

Accounts Receivable 1,425

Inventory 1,200

Pre-Paid Expenses 300

Total Current Assets 3,375

Net Fixed Assets 6,375

Total Assets 9,750

Liabilities and Equity Accounts Payable 750

Accrued Taxes and Wages 375

Notes Payable 1,250

Total Current Liabilities 2,375

Long-term Debt 4,500

Common Stock 1,500

Retained Earnings 1,375

Total Equity 2,875

Total Liabilities and Equity 9,750