Finance Group Project Worksheet (Erin,Kester,Lester,Navya) - BC Inc For Year Ending Income Statement Sales Costs of goods sold Depreciation Interest

Finance Group Project Worksheet (Erin,Kester,Lester,Navya)...

This preview shows page 1 - 2 out of 5 pages.

BC Inc. For Year Ending November 16, 2015 In 000s Income Statement Sales 16,500,000 Costs of goods sold (11,550,000) Depreciation (750,000) Interest payments on debt (302,500) Profit before tax 3,897,500 Taxes (1,364,125) Profit after tax 2,533,375 Dividends (1,266,688) Retained earnings 1,266,688 As of November 16, 2015 In 000s Balance Sheet Cash 2,500,000 Current assets 4,125,000 Fixed assets At cost 15,925,000 Depreciation (5,200,000) Net fixed assets 10,725,000 Total Assets 17,350,000 Current liabilities 2,970,000 Debt 5,500,000 Stock 4,500,000 Accumulated retained earnings 4,380,000 Total Liabilities and Equity 17,350,000 Information for Pro Formas Annual Sales growth for next 5 years 3.5% Current assets other than Cash/Sales 25.0% Current liabilities/Sales 18.0% Net fixed assets/Sales 65.0% Costs of goods sold/Sales 70.0% Depreciation rate 5.0% Interest rate on debt 5.5% Corporate Tax rate 35.0% Dividend payout ratio 50.0% As of this year and into the future No interest earned from cash balances Additional Information 1.5% CFFA is expected to stabilize at that point and then continue to grow at 1.5% annually No new equity will be issued and no equity will be repurchased Any shortfall in funds needed will come from the CASH balance and any increase in funds generated will go to increase the CASH balance In other words, the PLUG figure that keeps Assets = Liabilities & Stockholder's Equity is CASH.

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture