statement of cash flows
The Income statement and balance sheet for Camelot Inc. are provided here. Note that firm's capital expenditures are expected to rise by $50,000 in the new year. This will lead to an increase of $5,000 in accumulated depreciation. Sales next year should be $4.3M
1. Using percentage of sales analysis techniques prepare a pro forma income statement and balance sheet for the next year.
2. Create a chart of sales by year for all years, including your pro forma estimate.
3. Add a trend line.
4. Create a scatter plot of sales vs. cogs. Add a trend line.
5. Regress cogs against sales.
6. Using your sales trendline and annual sales data forecast the sales level in the next 3 years (3 years after the year with 4.3M in sales). Forecast using the trend line as well as at least one of the following: trend, linest, regression.
|
Camelot Inc |
||
|
Statement of Cash Flows |
||
|
For the Year Ended Dec. 31, 2009 ($ in 000's) |
||
|
Cash Flows from Operations |
|
|
|
Net Income |
$ 44,220 |
|
|
Depreciation Expense |
$ 20,000 |
|
|
Change in Accounts Receivable |
$ (50,800) |
|
|
Change in Inventories |
$ (1,20,800) |
|
|
Change in Accounts Payable |
$ 29,600 |
|
|
Change in Other Current Liabilities |
$ 4,000 |
|
|
Total Cash Flows from Operations |
$ (73,780) |
|
|
Cash Flows from Investing |
|
|
|
Change in Plant & Equipment |
$ (36,000) |
|
|
Total Cash Flows from Investing |
$ (36,000) |
|
|
Cash Flows from Financing |
|
|
|
Change in Short-term Notes Payable |
$ 25,000 |
|
|
Change in Long-term Debt |
$ 1,01,180 |
|
|
Change in Common Stock |
$ - |
|
|
Cash Dividends Paid to Shareholders |
$ (22,000) |
|
|
Total Cash Flows from Financing |
$ 1,04,180 |
|
|
Net Change in Cash Balance |
|
$ (5,600) |
-
Rating:
/5
Solution: statement of cash flows