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Sophisticated Petites - Exhibits - SOPHISTICATED PETITES...

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SOPHISTICATED PETITES INCOME STATEMENTS (year end December 31) 1988 1989 ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ ~~~~ ~~~~ Sales 600,110 1,300,518 Cost Of Goods Sold Beginning Inventory 120,022 Purchases 479,130 965,840 Freight 958 1,959 --------- ---------- 480,088 1,087,821 Ending Inventory 120,022 268,494 --------- ---------- Cost of Goods 360,066 819,327 --------- ---------- GROSS PROFIT 240,044 481,191 Expenses: Advertising 10,000 15,000 General & Admin. Expense 45,000 77,513 Bad Debts 600 1,301 Bank Charges & Interest 8,101 22,563 Depreciation 6,155 11,054 Loss Due to Theft 6,001 13,005 Owner's Salary 31,250 Promotion 18,003 39,016 Rent 72,050 141,038 Wages and Benefits 39,543 90,034 --------- ---------- TOTAL EXPENSES 205,456 441,773 Extraordinary Loss 20,450 --------- ---------- INCOME BEFORE TAXES 34,588 18,968 Taxes 8,647 4,742 ========= ========== NET INCOME 25,941 14,226 ========= ========== Note: re Bank Charges and Interest, includes... $600 bank charge + 2.5% discount on credit card sales + interest on old term loan + interest on new term loan ignores interest on overdraft (if any) BALANCE SHEETS (as at December 31) ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ 1988 1989 ASSETS ~~~~ ~~~~ Current Assets Cash (Overdraft) 20,778 19,518 Inventory 120,022 268,494
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Prepaids 2,750 2,750 --------- ---------- Total Current Assets 143,550 290,762 Fixed Assets Furniture and Fixtures 2,000 5,000 Leasehold Improvements 59,546 105,540 Fixed Assets 61,546 110,540 Less Accumulated Depreciation 6,155 17,209 Net Fixed Assets 55,391 93,331 ========= ========== TOTAL ASSETS 198,941 384,093 ========= ========== LIABILITIES Current Liabilities
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