Van Buren Enterprises Balance Sheets Year Ended December 31st, 2019 ($ thousands) Van Buren Enterprises Income Statement ($ thousands) Year Ended December 31st, 2019 2019 Actual Net Sales S 9,870 Cost of Goods Sold 8,093 Gross Profit S 1.777 2019 Actual 2019 Actual $ S Current Assets Cash and Securities Accounts Receivable Inventory Total 540 1,485 810 2,835 Current Liabilities Accounts Payable Accured Wages Total 843 48 891 $ Operating Expenses Depreciation Expense Operating Income (EBIT) 986 182 609 $ $ Long-Term Debt $ 1,600 Net Fixed Assets $ 850 Interest Expense Taxable income 83 526 S S Owner's Equity Common Stock Retained Earnings Total 200 994 1,194 Income Tax Expense 110 S Total Liabilities and Owners' Equity Net Income 416 Total Assets $ 3,685 $ 3,685 $ Van Buren Enterprises Assumptions for 2020 Growth rate in Net Sales 30% Long-Term Debt ($ estimate) Cost of Goods Sold (% of Sales) 82% Cash/Securities (Days of Sales) Operating Expenses (% of Sales) 10% Accounts Receivable (% of Sales) Depreciation Expense (estimate $) $ 192 Inventory Turnover Interest Expense (Total estimate $) $ 159 Accounts Payable Period (Days) Tax Rate 21% Accrued Wages ($ estimate) Dividend Payout Ratio 50% Net Fixed Assets ($ estimate) 1,400 20 15% 10 38 63 950 $ $ Assume the Interest Expense estimate includes the cost of any new debt required, and Common Stock will not change. Create the 2020 Pro Forma Balance Sheet and Income Statements. What is the External Funding Required? Van Buren Enterprises Balance Sheets Year Ended December 31st, 2019 ($ thousands) Van Buren Enterprises Income Statement ($ thousands) Year Ended December 31st, 2019 2019 Actual Net Sales S 9,870 Cost of Goods Sold 8,093 Gross Profit S 1.777 2019 Actual 2019 Actual $ S Current Assets Cash and Securities Accounts Receivable Inventory Total 540 1,485 810 2,835 Current Liabilities Accounts Payable Accured Wages Total 843 48 891 $ Operating Expenses Depreciation Expense Operating Income (EBIT) 986 182 609 $ $ Long-Term Debt $ 1,600 Net Fixed Assets $ 850 Interest Expense Taxable income 83 526 S S Owner's Equity Common Stock Retained Earnings Total 200 994 1,194 Income Tax Expense 110 S Total Liabilities and Owners' Equity Net Income 416 Total Assets $ 3,685 $ 3,685 $ Van Buren Enterprises Assumptions for 2020 Growth rate in Net Sales 30% Long-Term Debt ($ estimate) Cost of Goods Sold (% of Sales) 82% Cash/Securities (Days of Sales) Operating Expenses (% of Sales) 10% Accounts Receivable (% of Sales) Depreciation Expense (estimate $) $ 192 Inventory Turnover Interest Expense (Total estimate $) $ 159 Accounts Payable Period (Days) Tax Rate 21% Accrued Wages ($ estimate) Dividend Payout Ratio 50% Net Fixed Assets ($ estimate) 1,400 20 15% 10 38 63 950 $ $ Assume the Interest Expense estimate includes the cost of any new debt required, and Common Stock will not change. Create the 2020 Pro Forma Balance Sheet and Income Statements. What is the External Funding Required
