Finance Test Assignment 3 - Kiwi Fruit Company

Question # 00065526 Posted By: paul911 Updated on: 04/28/2015 11:46 AM Due on: 04/29/2015
Subject Finance Topic Finance Tutorials:
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Amounts are in thousands of dollars (except number of shares and price per share):

Kiwi Fruit Company Balance Sheet




Cash and equivalents

$

570

Operating assets

650

Property, plant, and equipment

2,700

Other assets

110



Total assets

$

4,030





Current liabilities

$

920

Long-term debt

1,280

Other liabilities

120



Total liabilities

$

2,320





Paid in capital

$

340

Retained earnings

1,370



Total equity

$

1,710



Total liabilities and equity

$

4,030






Kiwi Fruit Company Income Statement





Net sales

$

7,800

Cost of goods sold

(5,900

)




Gross profit

$

1,900

Operating expense

(990

)




Operating income

$

910

Other income

105

Net interest expense

(200

)



Pretax income

$

815

Income tax

(285

)




Net income

$

530







Earnings per share

$

2.00

Shares outstanding

265,000

Recent price

$

34.50


Kiwi Fruit Company Cash Flow Statement





Net income

$

530

Depreciation and amortization

175

Changes in operating assets

(90

)

Changes in current liabilities

(120

)




Operating cash flow

$

495

Net additions to properties

$

180

Changes in other assets

(80

)




Investing cash flow

$

100

Issuance/redemption of long-term debt

$

(190

)

Dividends paid

(220

)




Financing cash flow

$

(410

)

Net cash increase

$

95








Prepare a pro forma income statement, balance sheet, and cash flow statement for Kiwi Fruit assuming a 10 percent increase in sales.(Leave no cells blank - be certain to enter "0" wherever required. Negative amounts should be indicated by a minus sign. Input all amounts as thousands of dollars. Round earnings per share to 2 decimal places. Omit the "$" sign in your response.)

Kiwi Fruit Company Pro Forma Income Statement



Net sales

$

Cost of goods sold

$


Gross profit

$

Operating expense


Operating income

$

Other income

$

Net interest expense

$


Pretax income

$

Income tax

$


Net income

$



Earnings per share

$

Shares outstanding

$


Kiwi Fruit Company Pro Forma Cash Flow Statement



Net income

$

Depreciation and amortization

$

Changes in operating assets

$

Changes in current liabilities

$


Operating cash flow

$

Net additions to property

$

Changes in other assets

$


Investing cash flow

$

Issuance/redemption of long-term debt

$

Dividends paid

$


Financing cash flow

$

Net cash increase

$




Kiwi Fruit Company Pro Forma Balance Sheet



Cash and equivalents

$

Operating assets

$

Property, plant, and equipment

$

Other assets

$


Total assets

$



Current liabilities

$

Long-term debt

$

Other liabilities

$


Total liabilities

$

Paid in capital

$

Retained earnings


Total equity

$

Total liabilities and equity

$



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  1. Tutorial # 00061438 Posted By: paul911 Posted on: 04/28/2015 11:48 AM
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