problem

there are none, they have to be made and predict the 08 numberrs

Set up the income statement and balance sheet for 2007, then forecast the income statement and balance sheet for 2008, assuming sales grow by 15%. Aditional information: During 2008 the company is going to buy a $300,000 machine, depreciated SL over 6 years. It will do its financing for next year using bonds that have a coupon rate of 8%. It pays $100,000 a year on its long term debt. 2007 2008 $50,000 $175,000 $50,000 $400,000 $600,000 $312,500 $475,000 $100,000 $50,000 $125,000 $275,000 Additional Financing Needed Dividends (30% payout) Taxable income Depreciation Cash Accruals Raw materials Current Assets Long term debt at 10% Labor Accumulated. Depreciation. ST portion of LTD A/P TL & NW Operating Costs Account Receivables Current Liabilities Gross Fixed Assets Sales Total Assets Common stock Interest Contribution To RE Cost of goods sold Net fixed assets EBIT Other Fixed Costs Taxes (40%) Gross Profits Retained Earnings Inventory Note payable at 8% After Tax Income $1,550,000 $1,250,000 $480,000 $76,000 $55,000 $425,000 $255,000 $75,000 Set up the income statement and balance sheet for 2007, then forecast the income statement and balance sheet for 2008, assuming sales grow by 15%. Aditional information: During 2008 the company is going to buy a $300,000 machine, depreciated SL over 6 years. It will do its financing for next year using bonds that have a coupon rate of 8%. It pays $100,000 a year on its long term debt. 2007 2008 $50,000 $175,000 $50,000 $400,000 $600,000 $312,500 $475,000 $100,000 $50,000 $125,000 $275,000 Additional Financing Needed Dividends (30% payout) Taxable income Depreciation Cash Accruals Raw materials Current Assets Long term debt at 10% Labor Accumulated. Depreciation. ST portion of LTD A/P TL & NW Operating Costs Account Receivables Current Liabilities Gross Fixed Assets Sales Total Assets Common stock Interest Contribution To RE Cost of goods sold Net fixed assets EBIT Other Fixed Costs Taxes (40%) Gross Profits Retained Earnings Inventory Note payable at 8% After Tax Income $1,550,000 $1,250,000 $480,000 $76,000 $55,000 $425,000 $255,000 $75,000