Yes/No/Netral Quality Indicator Checklist Balance Sheet 1 Does company collect? Are Days Receivable nearly equal to Payment Terms 2 Does Company pay? Are Days Payable about equal to Payment Terma? Are Payables Inventory? Are Duya Accrual about equal to the payroll cycle? Are taxes current 3 Does Company control its inventory! Are Days Inventory nearly equal to the Inventory cycle? Are Officers Committed Are there notes receivable? Are there notes payable or subordinated officer dobe? (Officer debt is a good indicator is truly subordinated) 5. Does the Company have a profitable operating history! Are retained cumnings positive 4 Profit & Loss Statement 1. Is Company Growing! Are Sales Rising? 2 Does Company Maintain Margins? ICOGS/Sales table 3 Does company control overhead SSGA/Sales table or falling? 4. is company profitable? * Operating Profiles table errsing? I ET/Sales stable or rising! 5 Is there w Midden cash flow? Are there any discretionary expenses Wallable to repay deb TRIANGLE CO. PROFIT & LOSS STATEMENT Year 1 Year 2 39 SALES 696 737 40-COGS 339 336 41 GROSS PROFIT 357 401 42 -SGA 155 128 43 OPERATING PROFIT 202 273 44 -OWNERS SALARY 30 34 45 -DEPR & AMORT EXP 36 38 46)-INTEREST EXP 1 0 47 -RENT 23 25 48 - OTHER INC/EXP (22) (5) 49 EBT 90 171 50 -INCOME TAXES 51 PAT (Profit After Tax) 90 171 TRIANGLE CO. Year 1 Year 20 1 Assas 1 Casateurs BACCO Recoratie 3 theory apatsponses TO 161 202 70 172 90 210 TIRANIASETS Neled To Necewable 1 mesmotinos diaries rintangibles Other sa TOYALSTS 10 4700 14 4 20 19 2 1. Payak ON 19 ACES Zoney zamento 4 2 ADILITIES & NET WORTH CURLINIBILE Longame 20 SVALLABILITIES pan te og LOTENTWORTH OLIATELLEETWW 1 17 41 21 405 Compare with company's terms. Are the calculations near ne terms? 10 days is the limit for being within terms. SATYLE . MANETWORKING CATAL . Gew 1 W trees Deyer De be Yes/No/Netral Quality Indicator Checklist Balance Sheet 1 Does company collect? Are Days Receivable nearly equal to Payment Terms 2 Does Company pay? Are Days Payable about equal to Payment Terma? Are Payables Inventory? Are Duya Accrual about equal to the payroll cycle? Are taxes current 3 Does Company control its inventory! Are Days Inventory nearly equal to the Inventory cycle? Are Officers Committed Are there notes receivable? Are there notes payable or subordinated officer dobe? (Officer debt is a good indicator is truly subordinated) 5. Does the Company have a profitable operating history! Are retained cumnings positive 4 Profit & Loss Statement 1. Is Company Growing! Are Sales Rising? 2 Does Company Maintain Margins? ICOGS/Sales table 3 Does company control overhead SSGA/Sales table or falling? 4. is company profitable? * Operating Profiles table errsing? I ET/Sales stable or rising! 5 Is there w Midden cash flow? Are there any discretionary expenses Wallable to repay deb TRIANGLE CO. PROFIT & LOSS STATEMENT Year 1 Year 2 39 SALES 696 737 40-COGS 339 336 41 GROSS PROFIT 357 401 42 -SGA 155 128 43 OPERATING PROFIT 202 273 44 -OWNERS SALARY 30 34 45 -DEPR & AMORT EXP 36 38 46)-INTEREST EXP 1 0 47 -RENT 23 25 48 - OTHER INC/EXP (22) (5) 49 EBT 90 171 50 -INCOME TAXES 51 PAT (Profit After Tax) 90 171 TRIANGLE CO. Year 1 Year 20 1 Assas 1 Casateurs BACCO Recoratie 3 theory apatsponses TO 161 202 70 172 90 210 TIRANIASETS Neled To Necewable 1 mesmotinos diaries rintangibles Other sa TOYALSTS 10 4700 14 4 20 19 2 1. Payak ON 19 ACES Zoney zamento 4 2 ADILITIES & NET WORTH CURLINIBILE Longame 20 SVALLABILITIES pan te og LOTENTWORTH OLIATELLEETWW 1 17 41 21 405 Compare with company's terms. Are the calculations near ne terms? 10 days is the limit for being within terms. SATYLE . MANETWORKING CATAL . Gew 1 W trees Deyer De be