Testing the operating line as drawn at 75% usage, plus all existing and new proposed term debt, what is Spread the Joy Organics Inc.'s 20X1 Funded Debt to EBITDA? Using the financial analysis worksheet provided to answer this question.
Review Later
4.05
3.49
4.50
3.94
\begin{tabular}{|c|c|c|c|c|c|c|c|} \hline & 201 & 200 & & 201 & 200 & & \\ \hline ASSETS & & & REVENUES & $2,296,165 & $2,050,877 & Credit Line: & 500,000 \\ \hline CURRENT & & & & & & Spread: & \\ \hline Cash & $72,517 & $9,146 & COST OF SALES & 1,554,917 & 1,334,651 & Prime: & 3.00% \\ \hline Sales tax receivable & 15,959 & 12,841 & & & & Total Rate: & \\ \hline Inventory & 796,513 & 644,587 & GROSS MARGIN & 741,248 & 716,226 & & \\ \hline \multirow[t]{4}{*}{ Accounts receivable } & 362,885 & 308,266 & & & & New Term Loan: & 500,000 \\ \hline & & & EXPENSES & & & Amorizaton (months): & 72 \\ \hline & 1,247,874 & 974,840 & Advertising and promosion & 17,185 & 15,285 & Rate: & 5.20% \\ \hline & & & Bank charges & 9,886 & 10,724 & Rate Monthly: & \\ \hline \multirow[t]{2}{*}{ EQUIPMENT (Note 3) } & 692,554 & 704,744 & Business taxes, licenses and memberships & 9,147 & 8,998 & Monthly Payment: & \\ \hline & & & Courier and postage & 6,238 & 4,775 & Total Annual Payments: & \\ \hline \multirow[t]{3}{*}{ Total Assets } & $1,940,428 & $1,679,584 & Depreciason & 94,722 & 98,255 & & \\ \hline & & & Insurance & 3,516 & 3,895 & & \\ \hline & & & Interest & 29,638 & 25,022 & & \\ \hline LIABILITIES & & & Office and administrason & 5,286 & 5,157 & & \\ \hline CURRENT & & & Repairs and maintenance & 9,214 & 10,916 & & \\ \hline Accounts payable and accrued liabilifes & $324,554 & $226,897 & Rent and occupancy & 81,178 & 80,677 & & \\ \hline Bank line of credit. & 441,589 & 358,733 & Salaries and wages & 315,950 & 301,964 & & \\ \hline \multirow[t]{3}{*}{ Salaries payable } & 13,955 & 12,650 & Sofware and computers & 4,288 & 1,961 & & \\ \hline & & & Telephone & 958 & 854 & & \\ \hline & 780,098 & 598,280 & Warehouse & 56,255 & 64,266 & & \\ \hline \multirow[t]{2}{*}{ DUE TO SHAREHOLDERS } & 914,412 & 914,412 & & 643,461 & 632,749 & & \\ \hline & 1,694,510 & 1,512,692 & NET INCOME BEFORE INCOME TAXES & 97,787 & 83,477 & & \\ \hline SHAREHOLDERS' EQUITY & & & INCOME TAXES & 18,761 & - & & \\ \hline Share capital (Note 4) & 100 & 100 & & & & & \\ \hline Retained earnings & 245,818 & 166,792 & NET INCOME & $79,026 & $83,477 & & \\ \hline Total Equity & 245,918 & 166,892 & & & & & \\ \hline \multirow[t]{2}{*}{ Total Liabilities and Shareholders' Equity } & $1,940,428 & $1,679,584 & EBITDA: & & & & \\ \hline & & & Credit Line Interest: & & & & \\ \hline \end{tabular}
