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Sheet1

	Units
	Income Statement		February	March	Acct Br Ev	EVA Br Ev	EBIDA Br Ev.	EBDAT Br Ev	Price Cut
	Net revenues		207,000.00
	Cost of goods sold		122,130.00
	Gross margin		84,870.00
	Marketing expense		10,212.50
	Administrative		8,268.00
	Supplies		2,100.00
	Depreciation		2,136.67
	Rent		600.00
	R & D		14,500.00
	EBIT		47,052.83
	Interest expense		642.06
	Earnings before tax		46,410.77
	Income tax		16,243.77
	Net income		30,167.00
	COC @ 10% annual		3,485.62
	EVA		26,681.38
	EBIDA	EBIT + Depr	49,189.50
	EBDAT	EBIDA - interest	48,547.44
	EBIDA Mult.	8

	Balance Sheet		February	March
									February	March
	Assets					Liabilities
	Cash		211,500.81			Accounts payable			128,100.00
	Accounts receivable		49,100.00			Income tax payable			16,243.77
	Supplies		1,300.00			Current portion LT debt			- 0
	Prepaid rent		6,000.00			Current liabilities			144,343.77
	Inventory		25,830.00
	Investments		- 0			Notes payable			86,093.93
	FV Adjustments					Notes payable			37,000.00
	Current assets		293,730.81			Common stock			120,000.00
						Retained earnings			30,836.44
	Plant & Equipment		128,200.00			Other Comprehensive Income			- 0
	Accum. Depr.		3,656.67			Total liabilities & equity			418,274.14
	Net plant & equipment		124,543.33
	Total assets		418,274.14			Common shares			10,000	10,000
						Share price
	Statement of Cash Flows

	Operating activities
	Net income		30,167.00
	Depreciation		2,136.67
	Accounts receivable		(42,300.00)
	Supplies		2,100.00
	Prepaid rent		600.00
	Inventory		(370.00)
	Investments
	Accounts payable		31,500.00
	Accrued liabilities		6,729.46
	Cash from operating activities		30,563.13
	Investing activities
	Plant & equipment		(37,000.00)
	Cash from investing activities
	Financing activities
	Common stock		- 0
	Note payable		35,039.87
	Dividend paid		(17,000.00)
	Cash from financing activities		18,039.87
	Beginning cash		199,897.81
	Net cash flows		11,603.00
	Ending cash		211,500.81
	Cash build		164,700.00
	Cash burn		171,136.87
	Net Cash burn		(6,436.87)
Profitability ratios
Gross margin (G.M./Sales Revenue)							Shares outstanding			10,000
Operating profit margin (EBIT/sales revenue)							Share price
Operating profit margin (Net inc. + interest/sales revenue)							Market cap
Operating profit margin (Net inc. + (interest* 1-tr)/sales rev)						- 0	Market value added (mkt cap - tot. equity)
NOPAT (net operating profit after tax): (EBIT * 1-tr/sales)							Book/Market
Return on sales (Net Income/Sales Revenue)							EPS
							Paid out
Return on assets (Net Income/Ave. Total Assets)							Retained (plowed-back)
							PE
DuPont							Investor return rate
Net profit/Net Sales * Net Sales/Ave. Tot Assets							Change in retained earnings (net * plowback %)
							EPS
Profit Margin	Asset Turnover						Annual ROE
							BV/Share
Return on assets (Net Income+ interest/Ave. Total Assets)							ROA
Net profit+ int./Net Sales * Net Sales/Ave. Tot Assets							COC			0.065
							NET ROA			-0.065
Profit Margin	Asset Turnover
							Growth rate (sustainable)
Return on equity (Net Income/Ave. Total Equity)							ROE
							Plowback
Ave. Assets	Sales	Net
Ave. Equity	Ave. Assets	Sales					Growth rate (internal)
							ROE
							Plowback
							Equity/Assets
Equity Multiplier	Asset Turnover	Return on sales
Ave. Assets	Sales	Net + Interest	Net
Ave. Equity	Assets	Sales	Net + Interest
Leverage ratio	Asset Turnover	Opr Profit Mg	Debt Burden
No Pat margin EBIT * (1- tax rate)/Net sales
(measures profit rate absent effect of
financial leverage)
NOPAT (net operating profit after tax)
Earnings/share (Net Income/Common Shares Ost)
Price/earnings ratio (Share Price/E.P.S.)
Return on Capital
Net + Interest
Long term debt + equity
Liquidity ratios
Current ratio (Current Assets/Current Liabilities)
Quick ratio (Liquid Current Assets/Current Liabilities)
Working capital (Current Assets - Current Liabilities)
Debt/Assets Ratio (debt/assets)
NWC Ratio (net working capital/total assets)
Activity ratios
Asset Turnover (sales/ave assets)
Asset life
Inventory turnover (C.O.G.S./Ave Inventory)
Days in inventory (Period days/Inventory turn rate)
Ave. Inventory/Daily C.O.G.S.
Accounts receivable turnover (Credit sales/Ave A/R)
Days in receivables (Period days/AR turn rate)
Ave. Receivables/Daily sales
Accounts payable turnover (C.O.G.S./Ave AP)
Days in payables
Ave AP/Ave Daily C.O.G.S.
Operating cycle days (Cash-cash: Inventory + AR- Payables)
Leverage ratios
Debt/assets ratio (Total debt/Total assets)
Cash ratio (cash + marketable securities)/current liab)
Equity multiplier
Debt/equity ratio (Total debt/Total equity)
Times interest earned (E.B.I.T./Interest expense)
Cash coverage ratio (EBIT + Depr)/Interest
	2	Please book following transactions, and ratios, and compute breakeven's

	1	1-Mar	Purchase		inventory on account equal to 125% of projected sales @ cost
	2	2-Jan	Settle	128,100	accounts payable

	3	31-Mar	Record rent expense
	4	3-Mar	Record		revenue,		35% received in cash
			COGS for transaction is			based on sales forecast
	5	8-Mar	Receive	58,400.00	against accounts receivable
	6	31-Mar	Pay	12,867.75	cash for marketing expense
	7	31-Mar	Pay	10,417.68	administrative expense in cash
	8	31-Mar	Pay	18,270.0	cash for r & d expense
	9	28-Feb	Record	300	supplies expense
	10	31-Mar	Book depreciation
	11	31-Mar	Record income tax expense on account at			0.35
	12	31-Mar	Settle income tax payable from previous month
	13	31-Mar	Make payment on note, record interest, amortization: Note 1
	14	31-Mar	Make payment on Note 2: Annual rate .09, interest accrued 1 month
			Note increased by 1 month's interest prior to amortization over 24 months
	15	31-Mar	Make payment on Note 2: Annual rate .09, interest accrued 1 month	on second note, record interest, amort.
	16	Investments in Available for Sale Securities			80,000.00	in cash
		Securities worth	79,400.00	at month end
	17	31-Mar	Dividend	8000
	1. U.S. Thunder Corp. is contemplating the following sales mix scenario for the next period.
	Please complete the following templates:
	a. Selling price & GM (.50)
	b. Markup % (.50)
	c. Revenue, COGS, GM template (1.0)
		Custom		Standard		Deluxe
	Sell	364.00		450.00		663.00
	Cost	260.00		300.00		340.00
	GM	104.00		150.00		323.00
	Cost +	1.4		1.55		1.95
	Markup %
	Units	110		165		139	414.00
	Revenues	40,040.00		74,250.00		92,157.00	206,447.00
	Costs	28,600.00		49,500.00		47,260.00	125,360.00
	GM	11,440.00		24,750.00		44,897.00	81,087.00

	If Thunder cuts its price by 12% on each item, how much of a volume increase will be needed to restore the
	original profit level?		Use This For Sales and COGS
	Volume % increase (1.0)

	Template (2.0)
		Custom		Standard		Deluxe
	Sell
	Cost	260.00		300.00		340.00
	GM	ERROR:#VALUE!		ERROR:#VALUE!		ERROR:#VALUE!
	Cost +
	Markup %
	Units						- 0
	Revenues	ERROR:#VALUE!		ERROR:#VALUE!		ERROR:#VALUE!	ERROR:#VALUE!	ERROR:#VALUE!
	Costs	ERROR:#VALUE!		ERROR:#VALUE!		ERROR:#VALUE!	ERROR:#VALUE!	ERROR:#VALUE!
	GM	ERROR:#VALUE!		ERROR:#VALUE!		ERROR:#VALUE!	ERROR:#VALUE!
	If Thunder increases its price by 10% on each item, how much of a volume decrease could it sustain
	before falling before the original profit level?
	Volume % decrease (1.0)

	Template (2.0)
		Custom		Standard		Deluxe
	Sell
	Cost	260.00		300.00		340.00
	GM	ERROR:#VALUE!		ERROR:#VALUE!		ERROR:#VALUE!
	Cost +
	Markup %
	Units						- 0
	Revenues	ERROR:#VALUE!		ERROR:#VALUE!		ERROR:#VALUE!	ERROR:#VALUE!	ERROR:#VALUE!
	Costs	ERROR:#VALUE!		ERROR:#VALUE!		ERROR:#VALUE!	ERROR:#VALUE!
	GM	ERROR:#VALUE!		ERROR:#VALUE!		ERROR:#VALUE!	ERROR:#VALUE!