The following tables contain financial statements for Dynastatics Corporation. Although the company has not been growing, it now plans to expand and will increase net fixed assets $($i$.$e$.,$ assets net of depreciation$)$ by $$200,000$ per year for the next $4$ years, and it forecasts that the ratio of revenues to total assets will remain at $1\mathrm{.}50.$ Annual depreciation is $20\%$ of net fixed assets at the beginning of the year. Fixed costs are expected to remain at $$70,000$ and variable costs at $70\%$ of revenue. The company's policy is to pay out onehalf of net income as dividends and to maintain a book debt ratio of $20\%$ of total capital.

INCOME STATEMENT, $2022$

$($Figures in $ thousands$)$

Revenue

Fixed costs

$$1,800$

Depreciation $(70\%$ of revenue$)70$

$\backslash$table$[[$Interest of beginning$-$of$-$year debt$),1,260]]$

Taxable income $,18$

Taxes $(at35\%),292$

Net income $102$

Dividends retained earnings $,$$$95,$$$190$

Addition $to$ retained earnings $$95$

$,$$$95$

BALANCE SHEET, YEAR$-$END

$($Figures in $ thousands$)$

Assets

Net working capital

Fixed assets

Total assets

Liabilities and shareholders' equity

Debt

Equity

Total liabilities and shareholders' equity

$2022$

$3$

$($Figures in $ thousands$)$

$,$$$300$ $$1,200$

Required:

a$1.$ Produce an income statement for $2023.$ Assume that net working capital will equal $50\%$ of fixed assets.

$02.$ Produce a balance sheet for $2023.$ Assume that net working capital will equal $50\%$ of fixert as