financial analysis
blaster30020
baby_cakes_financial_project_data_correc.xlsxStatement of Retained Earnings
| Baby Cakes International Inc | |||
| Statement of Retained Earnings | |||
| for the Years ended December 31, 2008 and 2007 | |||
| December 31, 2008 | December 31, 2007 | ||
| Retained Earnings, January 1 | $375,000 | $327,000 | |
| Net income for year | 68,000 | 67,000 | |
| Total | $443,000 | $394,000 | |
| Dividends Paid | |||
| Preferred Stock | $15,000 | $12,000 | |
| Common Stock | 7,000 | 7,000 | |
| Total Dividends Paid | $22,000 | $19,000 | |
| Retained Earnings December 31 | $421,000 | $375,000 |
Income Statement
| Baby Cakes International Inc | |||
| Income Statement | |||
| for the Years ended December 31, 2008 and 2007 | |||
| 2008 | 2007 | ||
| Sales | $1,055,000 | $966,000 | |
| Sales returns | 1,000 | 3,000 | |
| Sales Allowances | 1,500 | 1,000 | |
| Sales Discounts | 2,500 | 2,000 | |
| Net Sales | $1,050,000 | $960,000 | |
| Cost of Goods Sold | 400,000 | 390,000 | |
| Gross Profit | $650,000 | $570,000 | |
| Selling Expenses | $270,000 | $275,000 | |
| Administrative Expenses | 195,000 | 165,000 | |
| Total operating expenses | $465,000 | $440,000 | |
| Income from Operations | $185,000 | $130,000 | |
| Other income | 20,000 | 15,000 | |
| $205,000 | $145,000 | ||
| Other expense | 96,000 | 48,000 | |
| Income before Tax | $109,000 | $97,000 | |
| Income Tax Expense | 41,000 | 30,000 | |
| NET INCOME | $68,000 | $67,000 |
Balance Sheet
| Baby Cakes International Inc | |||
| Balance Sheet | |||
| December 31, 2008 and 2007 | |||
| ASSETS | |||
| December 31, 2008 | December 31, 2007 | ||
| Current Assets | |||
| Cash | $165,000 | $126,000 | |
| Securities | 398,000 | 254,000 | |
| A/R | 199,000 | 165,000 | |
| Inventory | 84,000 | 52,000 | |
| Prepaids | 25,000 | 18,000 | |
| Total Current Assets | $871,000 | $615,000 | |
| Long Term Investments | 300,000 | 200,000 | |
| Plant Property and Equipment (net of depreciation) | 1,040,000 | 760,000 | |
| Total Assets | $2,211,000 | $1,575,000 | |
| LIABILITIES | |||
| Accounts Payable | $290,000 | $250,000 | |
| Long Term Liabilities | |||
| Mortgage note payable , 8% due 2011 | 300,000 | ||
| Bonds Payable, 12% due 2015 | 600,000 | 400,000 | |
| Total Long-term liabilities | $900,000 | $400,000 | |
| Total Liabilities | $1,190,000 | $650,000 | |
| Stockholders' Equity | |||
| Preferred $6 stock, $100 par | $250,000 | $200,000 | |
| Common Stock, $10 par | 350,000 | 350,000 | |
| Retained Earnings | 421,000 | 375,000 | |
| Total Stockholder's Equity | $1,021,000 | $925,000 | |
| Total liabilities and stockholders' equity | $2,211,000 | $1,575,000 |
