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The most recent financial statements for Nuesca Holidays Inc. follow. Sales for 2018 are projected to grow by 30%. Interest expense will remain constant, the
The most recent financial statements for Nuesca Holidays Inc. follow. Sales for 2018 are projected to grow by 30%. Interest expense will remain constant, the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, and accounts payable increase spontaneously with sales. The firm is operating at full capacity and no new debt or equity is issued. Nuesca Holidays Inc. 2017 Statement of Comprehensive Income Sales Costs Other expenses Earnings before interest and taxes Interest paid Taxable income Taxes (35%) Net income Dividends $17.680 Addition to retained earnings 70, 720 $748,000 583,000 19,000 $146,000 10,000 $136,000 47,600 $ 88,400 Assets Current assets Cash Accounts receivable Inventory Total Nuesca Holidays Inc. Statement of Financial Position as of December 31, 2017 Liabilities and Owners' Equity Current liabilities $ 25,800 Accounts payable 41,200 Notes payable 87,400 Total $154,400 Long-term debt Owners' equity Common stock and paid-in surplus $400,000 Retained earnings Total $554,400 Total liabilities and owners' equity $ 68,500 17,500 $ 86,000 $100,000 Fixed assets Net plant and equipment $180,000 268,400 $368, 480 $554,400 Total assets Complete the pro forma statement of comprehensive income below. (Input all amounts as positive values. Omit $ sign in your response.)
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