what is the answer of a? Pro forma balance sheet-Basic Leonard Industries wishes to prepare a pro forma balance sheet for next year. The firm expects sales to total $3,000,000. The following information has been gathered.(1) A minimum cash balance of $49,700 is desired.(2) Marketable securities will remain unchanged.(3) Accounts receivable represent 10.1% of sales.(4) Inventories represent 11.9% of sales.(5) Leonard will acquire a new machine costing $89,800. Total depreciation for the year will be $32,300.(6) Accounts payable represent 14.4% of sales.(7) Accruals, other current liabilities, long-term debt, and common stock will remain unchanged.(8) The firm's net profit margin is 3.6%, and it expects to pay out $69,600 in cash dividends next year.Data table(9) The most recent balance sheet follows(Click on the icon here D in order to copy the contents of the data table below into a spreadsheet.)a. Use the judgmental approach to prepare a pro forma balance sheet for next year.b How much if any additional financina will Leonard Industries reauire? DiscuussLeonard Industries Balance SheetAssetsLiabilities and Stockholders' EquityCash$44,800Accounts payable$395,500Marketable securities14,500Accruals60,100a. Use the judgmental approach to prepare a pro forma balance sheet for Leonard Industries.Accounts receivable254,700Other current liabilities30,300Complete the assets part of the pro forma balance sheet for Leonard Industries below: (Round to the nearest dollarInventories340,200Total current liabilities$485,900Total current assets$654,200Long-term debt348,700Pro Forma Balance SheetNet fixed assets600,300Common stock199,700Retained earnings220,200Leonard IndustriesTotal assets$1,254,500Total liabilities and stockholders' equity$1,254,500AssetsCurrent assetsPrintDoneCashMarketable securities AssetsCurrent assetsCashMarketable securitiesAccounts receivableInventoriesTotal current assetsNet fixed assetsTotal assets$%24%24

The balance sheet indicates the summary of all the permanent accounts at the end of the accounting…

Pro forma balance sheet-Basic Leonard Industries wishes to prepare a pro forma balance sheet for next year. The firm expects sales to total $3,000,000. The following information has been gathered. (1) A minimum cash balance of $49,700 is desired. (2) Marketable securities will remain unchanged. (3) Accounts receivable represent 10.1% of sales. (4) Inventories represent 11.9% of sales. (5) Leonard will acquire a new machine costing $89,800. Total depreciation for the year will be $32,300. (6) Accounts payable represent 14.4% of sales. (7) Accruals, other current liabilities, long-term debt, and common stock will remain unchanged. (8) The firm's net profit margin is 3.6%, and it expects to pay out $69,600 in cash dividends next year. Data table (9) The most recent balance sheet follows - (Click on the icon here = in order to copy the contents of the data table below into a spreadsheet.) a. Use the judgmental approach to prepare a pro forma balance sheet for next year. Leonard Industries Balance Sheet h How murh if s anv additional financing will Ieonard Induustries reguire? Discuss Assets Cash Marketable securities Liabilities and Stockholders' Equity $44,800 $395,500 Accounts payable Accruals Other current liabilities 14,500 60,100 a. Use the judgmental approach to prepare a pro forma balance sheet for Leonard Industries. Accounts receivable 254,700 30,300 Inventories 340,200 Total current liabilities $485,900 Complete the assets part of the pro forma balance sheet for Leonard Industries below: (Round to the nearest dollar Total current assets $654,200 600,300 Long-term debt 348,700 Pro Forma Balance Sheet Net fixed assets Common stock 199,700 Retained earnings 220,200 Leonard Industries Total assets $1,254,500 Total liabilities and stockholders' equity $1,254,500 Assets Current assets Print Done Cash Marketable securities

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q