Table 4.5 A financial manager at General Talc Mines has gathered the financial data essential to prepare a pro forma balance sheet for cash and profit planning purposes for the coming year ended December 31, 2022. Using the percent-of-sales method and the following financial data, prepare the pro forma balance sheet in order to answer the following multiple choice questions. (a) The firm estimates sales of $1,000,000. (b) The firm maintains a cash balance of $25,000. (c) Accounts receivable represents 15 percent of sales. (d) Inventory represents 35 percent of sales. (e) A new piece of mining equipment costing $150,000 will be purchased in 2022. Total depreciation for 2022 will be $75,000. (f) Accounts payable represents 10 percent of sales. (g) There will be no change in notes payable, accruals, and common stock. (h) The firm plans to retire a long term note of $100,000. (i) Dividends of $45,000 will be paid in 2022. (i) The firm predicts a 4 percent net profit margin. Balance Sheet General Talc Mines December 31, 2021 Cash Balance sneer General Talc Mines December 31, 2021 Assets Accounts receivable Inventories Total current assets Net fixed assets Total assets Liabilities and stockholders' $ 25,000 120,000 300,000 $445,000 $500,000 $945,000 Accounts payable Notes payable Accruals Total current liabilities Long-term debts Total liabilities Stockholders' equity Common stock Retained earnings Total Stockholders' equity Total liabilities and stockholders' equity The pro forma total liabilities amount is $ 80,000 350,000 50,000 $480,000 150,000 $630,000 180,000 135,000 $315,000 $945,000 (See Table 4.5) CEO Ann OA. $650,000 B. $550,000 OC. $700,000 OD. $500,000 G D