- Create pro-forma financial statements for the first five years of operations.
- Document all assumptions
- Support use of the assumptions.
*****Company is seeking growth capital in the amount of $50,000 for the purpose of purchasing new and more modern equipment and for training existing personnel in the use of that new equipment. The newer modern equipment will increase production by 40% and decrease unit cost by 30% and repayment can start within 30 days of the receipt of funds, further secured by the building owned by the company valued at $125,000.******
Balance Sheet looks like the following:
Current: Cash Current: Accounts Payable
Accounts Receivable Accrued Expenses
Inventory Short Term Loans
Short Term Investments Unearned Income
Pre Paids Supplies
Long Term: Buildings Long Term: Mortgage
Land Long Term Debt (BONDS)
Plant Long Term Lease
Intangible: Goodwill EQUITY
Copyrights Retained Earnings
Paid In Capital
Stockholder's Equity (Treasury ...
This analysis presents information relative to the financial statements and how to gain insight into cash flow, return, and forecasting based upon limited information.