Use historical financial statements for the years 2000, 2001 and 2002 to develop pro forma financial statements for the company (both an income statement and a balance sheet). As outlined in the case, your firm projects a 20% increase in sales for 2003 and 2004.

Use historical financial statements for the years 2000, 2001 and 2002 to develop pro forma financial statements for the company (both an income statement and a balance sheet). As outlined in the case, your firm projects a 20% increase in sales for 2003 and 2004. Exhibit 1 Financial Statements for Weedorstop.com. For years ending 12/31 2000 2001 2002 Annual growth in sale INCOME STATEMENT $16,230 9,430 6,800 $20,355 11,898 8,457 $23,505 13,612 9,893 5,195 160 119 1,326 546 $780 6,352 180 106 1,819 822 $997 7,471 213 94 2,115 925 $1,190 $155 $200 $240 Assets Cash Accounts receivable Inventories Total current assets $508 2,545 1,630 4,683 $609 3,095 1,838 5,542 $706 3,652 2,190 6,548 Gross plant & equipment Accumulated depreciation Net plant & equipment 3,232 1,335 1,897 3,795 1,515 2,280 4,163 1,728 2,435 $6,580 $12,122 $8,983 Current maturities of long-term debt Accounts payable Accrued expenses Total current liabilities $125 1,042 1,145 2,312 $125 1,325 1,432 2,882 $125 1,440 1,653 3,218 Long-term debt 1,000 875 750 Common stock Retained earnings Total shareholders' equity 1,135 2,133 3,268 1,135 2,930 4,065 1,135 3,880 5,015 $6,580 $7,822 $8,983 Net sales Cost of sales Gross profit Selling, general, and administrative expenses Depreciation Net interest expense Pre-tax income Income taxes Net income Dividends BALANCE SHEET Total assets LIABILITIES Total liabilities o forma financial statements for the our firm projects a 20% increase in 2003 Annual growth in sales 2004 2005 0.254159 0.154753 Ratios Tied to Sales