Reproduce Ideko's balance sheet and statement of cash flows, assuming Ideko's market share will increase by 0.55 percent per year; investment, financing, and depreciation will be adjusted accordingly; and the projected improvements in working capital occur (that is, Ideko's working capital requirements through 2010 will be as shown here ). Ideko's income statements through 2010 and balance sheet for 2005 are shown here and here , respectively. Ideko capital expenditure assumptions are shown here Assume an income tax rate of 35%. The projected dividend payments for 2006 thru 2010 are shown below: 2007 2009 2006 (9,882) Dividends ($ 000) 2008 (4,440) 2010 (7,930) (3,543) (6,022) Construct Ideko's balance sheets through 2010 below: (Round to the nearest $ 000.) Balance Sheet ($ 000) 2006 Assets Cash and Equivalents Accounts Receivable Inventories Total Current Assets Property, Plant and Equipment Goodwill Total Assets Liabilities and Stockholders' Equity Accounts Payable bili mi til Debt Total Liabilities Stockholders' Equity Starting Stockholders' Equity Net Income Dividends Capital Contributions Capital Contributions Total Stockholders' Equity Total Liabilities and Equity Working Capital Days Assets Based on: Accounts Receivable Sales Revenue Raw Materials Raw Materials Costs Finished Goods Raw Materials + Labor Costs Minimum Cash Balance Sales Revenue Liabilities Wages Payable Direct Labor + Admin Costs Other Accounts Payable Raw Materials + Sales and Marketing 2005 Days 90 45 45 30 > 2005 Days 60 30 45 30 i 15 15 45 45 Working Capital ($ 000) 2005 2006 2007 2008 2009 2010 Assets Accounts Receivable 18,434 13,890 15,656 17,603 19,748 22,108 Raw Materials 1,944 1,450 1,619 1,802 2,002 2,219 Finished Goods 4,116 4,678 5,302 5,997 6,768 7,624 Minimum Cash Balance 6,145 6,945 7,828 8,802 9,874 11,054 Total Current Assets 30,639 26,963 30,405 34,204 38,392 43,005 Labilities 1,275 1,353 1,542 1,711 1,893 2,146 Wages Payable Other Accounts Payable 3,323 3,885 4,525 5,253 5,930 6,605 Total Current Liabilities 4,598 5,238 6,067 6,964 7,823 8,751 Net Working Capital 26,041 21,725 24,338 27,240 30,569 34,254 Increase in Net Working Capital (4,316) 2,613 2,902 3,329 3,685 Income Statement ($ 000) 2005 2006 2007 2008 2009 2010 Sales 74,761 84,498 95,242 107,086 120,132 134,490 Cost of Goods Sold Raw Materials (15,767) (17,620) (17,646) (20,295) (19,696) (23,313) (21,929) (26,712) (24,359) (30,539) (27,002) (34,839) Direct Labor Costs Gross Profit 41,374 46,557 52,233 58,445 65,234 72,649 Sales and Marketing (11,184) (13,405) (13,866) (12,616) (17,010) (14,220) (20,678) (14,917) (23,738) (15,533) (26,575) (17,390) Administrative EBITDA 16,785 20,075 21,003 22,850 25,963 28,684 Depreciation (5,540) (5,486) (5,437) (5,394) (5,354) (6,769) EBIT 14,589 15,566 17,456 20,609 21,915 11,245 (78) Interest Expense (net) (6,767) (6,767) (6,767) (6,767) (6,767) Pretax Income 11,167 7,822 8,799 13,842 15,148 10,689 (3,741) Income Tax (3,908) (2,738) (3,080) (4,845) (5,302) Net Income 7,259 5,084 5,719 6,948 8,997 9,846 Balance Sheet ($ 000) Assets Cash and Equivalents Accounts Receivable Inventories Total Current Assets Property, Plant, and Equipment Goodwill Total Assets 6,238 18,434 6,099 30,771 49,860 72,271 152,902 Liabilities and Stockholders' Equity Accounts Payable 4,734 Debt 101,000 Total Liabilities 105,734 Stockholders' Equity 47,168 Total Liabilities and Equity 152,902 Estimated 2005 Balance Sheet Data for Ideko Corporation 2009 Opening Book Value New Investment Depreciation Closing Book Value 2005 2006 2007 2008 55,400 49,860 49,374 48,937 5,000 5,000 5,000 5,000 (5,540) (5,486) (5,437) (5,394) 49,860 49,374 48,937 48,543 Ideko Capital Expenditure Assumptions ($ 000) 48,543 5,000 (5,354) 48,189 2010 48,189 19,500 (6,769) 60,920 Reproduce Ideko's balance sheet and statement of cash flows, assuming Ideko's market share will increase by 0.55 percent per year; investment, financing, and depreciation will be adjusted accordingly; and the projected improvements in working capital occur (that is, Ideko's working capital requirements through 2010 will be as shown here ). Ideko's income statements through 2010 and balance sheet for 2005 are shown here and here , respectively. Ideko capital expenditure assumptions are shown here Assume an income tax rate of 35%. The projected dividend payments for 2006 thru 2010 are shown below: 2007 2009 2006 (9,882) Dividends ($ 000) 2008 (4,440) 2010 (7,930) (3,543) (6,022) Construct Ideko's balance sheets through 2010 below: (Round to the nearest $ 000.) Balance Sheet ($ 000) 2006 Assets Cash and Equivalents Accounts Receivable Inventories Total Current Assets Property, Plant and Equipment Goodwill Total Assets Liabilities and Stockholders' Equity Accounts Payable bili mi til Debt Total Liabilities Stockholders' Equity Starting Stockholders' Equity Net Income Dividends Capital Contributions Capital Contributions Total Stockholders' Equity Total Liabilities and Equity Working Capital Days Assets Based on: Accounts Receivable Sales Revenue Raw Materials Raw Materials Costs Finished Goods Raw Materials + Labor Costs Minimum Cash Balance Sales Revenue Liabilities Wages Payable Direct Labor + Admin Costs Other Accounts Payable Raw Materials + Sales and Marketing 2005 Days 90 45 45 30 > 2005 Days 60 30 45 30 i 15 15 45 45 Working Capital ($ 000) 2005 2006 2007 2008 2009 2010 Assets Accounts Receivable 18,434 13,890 15,656 17,603 19,748 22,108 Raw Materials 1,944 1,450 1,619 1,802 2,002 2,219 Finished Goods 4,116 4,678 5,302 5,997 6,768 7,624 Minimum Cash Balance 6,145 6,945 7,828 8,802 9,874 11,054 Total Current Assets 30,639 26,963 30,405 34,204 38,392 43,005 Labilities 1,275 1,353 1,542 1,711 1,893 2,146 Wages Payable Other Accounts Payable 3,323 3,885 4,525 5,253 5,930 6,605 Total Current Liabilities 4,598 5,238 6,067 6,964 7,823 8,751 Net Working Capital 26,041 21,725 24,338 27,240 30,569 34,254 Increase in Net Working Capital (4,316) 2,613 2,902 3,329 3,685 Income Statement ($ 000) 2005 2006 2007 2008 2009 2010 Sales 74,761 84,498 95,242 107,086 120,132 134,490 Cost of Goods Sold Raw Materials (15,767) (17,620) (17,646) (20,295) (19,696) (23,313) (21,929) (26,712) (24,359) (30,539) (27,002) (34,839) Direct Labor Costs Gross Profit 41,374 46,557 52,233 58,445 65,234 72,649 Sales and Marketing (11,184) (13,405) (13,866) (12,616) (17,010) (14,220) (20,678) (14,917) (23,738) (15,533) (26,575) (17,390) Administrative EBITDA 16,785 20,075 21,003 22,850 25,963 28,684 Depreciation (5,540) (5,486) (5,437) (5,394) (5,354) (6,769) EBIT 14,589 15,566 17,456 20,609 21,915 11,245 (78) Interest Expense (net) (6,767) (6,767) (6,767) (6,767) (6,767) Pretax Income 11,167 7,822 8,799 13,842 15,148 10,689 (3,741) Income Tax (3,908) (2,738) (3,080) (4,845) (5,302) Net Income 7,259 5,084 5,719 6,948 8,997 9,846 Balance Sheet ($ 000) Assets Cash and Equivalents Accounts Receivable Inventories Total Current Assets Property, Plant, and Equipment Goodwill Total Assets 6,238 18,434 6,099 30,771 49,860 72,271 152,902 Liabilities and Stockholders' Equity Accounts Payable 4,734 Debt 101,000 Total Liabilities 105,734 Stockholders' Equity 47,168 Total Liabilities and Equity 152,902 Estimated 2005 Balance Sheet Data for Ideko Corporation 2009 Opening Book Value New Investment Depreciation Closing Book Value 2005 2006 2007 2008 55,400 49,860 49,374 48,937 5,000 5,000 5,000 5,000 (5,540) (5,486) (5,437) (5,394) 49,860 49,374 48,937 48,543 Ideko Capital Expenditure Assumptions ($ 000) 48,543 5,000 (5,354) 48,189 2010 48,189 19,500 (6,769) 60,920