FINANCIAL ACCOUNTING

Frank's Hotdog Cart Financials

Current Financial Statements (use the links below to access the templates)

Justification: This projected financial statements are primarily based on the figures, facts, and historical sales of the hotdog cart business. The business is situated in New York. It provides the entity's financial information which are objective, accurate and true. The income statement and balance sheet faithfully represent the business's financial performance and position.

Income Statement Balance Sheet

Frank's

INCOME STATEMENTS

2021 2021

Revenue $ 180,000 $ 360,000

Cost of goods sold $ 120,505 $ 224,575

Gross profit $ 59,495 $ 135,425

Operating expenses:

Cost of revenue 15,650 30,415

Sales and marketing 4,500 6,765

Wages 22,500 45,000

General and administrative 1,500 2,250

Total operating expenses 44,150 84,430

Net income $ 15,345 $ 50,995

Three Months Ended July 31,

Six Months Ended July 31,

Frank's

BALANCE SHEETS

Assets (expand the list to include all assets)

Current assets:

Cash and cash equivalents $ 15,550

Petty cash $ 2,200

Short-term investments $ 12,085

Accounts receivable 16,350

Inventories 2,353

Supplies

Hotdogs 13,650

Hotdog bans 9,970

Tomato Ketchup 3,599

Mustard 2,459

Spices 1,500

Mayonnaise 3,466

Prepaid Insurance 1,500

Other 5,815

Total current assets 90,497

Cooking equipment 4,455

Hot dog cart 22,475

Hot dog warmers 1,020

10,215

Total assets $ 128,662

Liabilities and stockholders' equity (Not needed for Part 1)

Current liabilities:

Accounts payable $ 68,575

Accrued expenses 32,395

Other 23,442

Total current liabilities

Long-term debt 4,250

Total liabilities $ 128,662

Commitments and contingencies

Stockholders' equity:

Money from family

Total stockholders' equity

July31, 2021

Property and equipment, net of accumulated depreciation of cart and cooking equipment

Total liabilities and stockholders' equity $128,662