Finance Help

Kylebwf

Use the following to answer questions 1-10: SHOW YOUR WORK!!!!!

MEGAFRAME COMPUTER COMPANY Balance Sheet As of December 31, 2003
ASSETS
Cash	$ 40,000
Accounts Receivable	60,000
Inventory	90,000
New Plant and Equipment	220,000
Total Assets	$410,000
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts Payable	$ 60,000
Accrued Expenses	40,000

Long-Term debt	130,000
Common Stock	60,000
Paid-In capita	20,000
Retained earnings	100,000
Total Liabilities and Stockholders' Equity	$410,000
MEGAFRAME COMPUTER COMPANY Income Statement For the Year Ended December 31, 2003
Sales (all on credit)	$720,000
Cost of Goods Sold	500,000
Gross Profit	220,000
Sales and Administrative Expense	20,000
Depreciation	40,000
Operating Profit	160,000
Interest Expense	16,000
Profit before Taxes	144,000
Taxes (30%)	43,200
Net Income	$100,800