This question requires you to build a pro forma balance sheet and income statement for a company's first year in business based on the following assumptions.

Use your proforma to answer questions a$-$c$.$

Income Statement Assumptions:

Sales

Operating expenses as a percent of

Interest rate on Long$-$term debt

Tax Rate

$$100,000$

$75\%$

$10\%$

$25\%$

Balance Sheet Assumptions:

Current assets as a percentage of sales. $25\%$

Fixed asset turnover $2\mathrm{.}0$

The current ratio $2\mathrm{.}0$

Common stock. $ $$40,000$

a$)$ What are total assets?

b$)$ If long$-$term debt is $$40,000$ what are dividends?

c$)$ If dividends are zero what is long$-$term debt?

Round your final answers to the nearest dollar $($e$.$g$.$ $$120,000).$