Transactions Plan A 1-1 Start Up Funding Sign Note for $55,000 @ 8% Issue Stock for $8,000 1-2 Purchase Equipment @1/1 Purchase a workbench and tools for $35,000 cash; SL Depreciation 5 yr. useful life, $o salvage value 1 3 Purchase Inventory for $4,000 cash 1-4 Service & Sales Revenue Service Revenue $36,000 Sales Rev $3,000; COGS $1,500 1-5 Operating Expenses Salaries 56,000 Rent $5.000 Insurance Udities $4.0001 Total Operating Exp. $18,000 Depreciation Exp. - equip. cost x 175 Interest ExD. - Note Pay. K 89x12/12 Balance Sheet Income Statement Revenue - Expense Assets 2 3 Year/ 4 Trans Year 1 5 Balance 6.11 7 1-1 Cash flow Accumulated Equipment Depreciation Liabilities Notes Payable Stockholders Equity Common Retained Stock Earnings Cash Inventory 9 1-3 101-4 11 1.4 12:14 13 1.5 14 1.5 15.15 16 Closing 17 tots 10 A15 X Beginning Common Stock D E B C Statement of Cash Flows 40 41 Net Cashflow from Operating 42 Net Cashflow from Investing 43 Net Cashflow from Financing 44 Net Change in Cash 45 Beginning Cash Balance 46 Ending Cash Balance 47 48 49 Balance Sheet 1 5 Assets 6 Cash 7 Inventory 8 Equipment 9 Accumulated Depreciation 30 Total Assets 31 Liabilities 32 Notes Payable 33 Total Liabilities 34 Stockholders Equity 35 Common Stock 36 Retained Earnings 37 Total Stockholders Equity 38 Total Liabilities & SE 39 4 Horizontal Transaction Analysis Sheet Financial Statements Transaction Detail A15 Beginning Common Stock D E B 13 Statement of Stockholders Equity 14 15 Beginning Common Stock 16 Plus: Common Stock Issued 17 Ending Common Stock 18 Beginning Retained Earnings 19 + Net Income 20 - Dividends 21 Ending Retained Earnings 22 Total Stockholders Equity 23 Year 4 1 Big Picture Project 2020 Survey Proforma Statements for Bert's Bikes 2 Year 1 Year 2 Year 3 3 Income Statement 4 Service Revenue 5 Sales Revenue 6 Total Revenue 7 Cost of Goods Sold 8 Operating Expenses 19 Depreciation Expense 10 Interest Expense 11 Total Expense 12 Net Income Transactions Plan A 1-1 Start Up Funding Sign Note for $55,000 @ 8% Issue Stock for $8,000 1-2 Purchase Equipment @1/1 Purchase a workbench and tools for $35,000 cash; SL Depreciation 5 yr. useful life, $o salvage value 1 3 Purchase Inventory for $4,000 cash 1-4 Service & Sales Revenue Service Revenue $36,000 Sales Rev $3,000; COGS $1,500 1-5 Operating Expenses Salaries 56,000 Rent $5.000 Insurance Udities $4.0001 Total Operating Exp. $18,000 Depreciation Exp. - equip. cost x 175 Interest ExD. - Note Pay. K 89x12/12 Balance Sheet Income Statement Revenue - Expense Assets 2 3 Year/ 4 Trans Year 1 5 Balance 6.11 7 1-1 Cash flow Accumulated Equipment Depreciation Liabilities Notes Payable Stockholders Equity Common Retained Stock Earnings Cash Inventory 9 1-3 101-4 11 1.4 12:14 13 1.5 14 1.5 15.15 16 Closing 17 tots 10 A15 X Beginning Common Stock D E B C Statement of Cash Flows 40 41 Net Cashflow from Operating 42 Net Cashflow from Investing 43 Net Cashflow from Financing 44 Net Change in Cash 45 Beginning Cash Balance 46 Ending Cash Balance 47 48 49 Balance Sheet 1 5 Assets 6 Cash 7 Inventory 8 Equipment 9 Accumulated Depreciation 30 Total Assets 31 Liabilities 32 Notes Payable 33 Total Liabilities 34 Stockholders Equity 35 Common Stock 36 Retained Earnings 37 Total Stockholders Equity 38 Total Liabilities & SE 39 4 Horizontal Transaction Analysis Sheet Financial Statements Transaction Detail A15 Beginning Common Stock D E B 13 Statement of Stockholders Equity 14 15 Beginning Common Stock 16 Plus: Common Stock Issued 17 Ending Common Stock 18 Beginning Retained Earnings 19 + Net Income 20 - Dividends 21 Ending Retained Earnings 22 Total Stockholders Equity 23 Year 4 1 Big Picture Project 2020 Survey Proforma Statements for Bert's Bikes 2 Year 1 Year 2 Year 3 3 Income Statement 4 Service Revenue 5 Sales Revenue 6 Total Revenue 7 Cost of Goods Sold 8 Operating Expenses 19 Depreciation Expense 10 Interest Expense 11 Total Expense 12 Net Income