additional square footage and product offerings of the new store along with the new member campaign...

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additional square footage and product offerings of the new store along with the new member campaign and advertising budget, they expect sales in 2005 will be somewhere between $3,300,000 and $3,600,000, roughly a 30%-40% increase over 2004 After that initial bump, a more conservative sales growth of 10% per year will be the target though it could be more if all goes well. They would like to keep the short-term line of credit at no more than $35,000, less if possibleWhile the member loans can be paid off over a six- to eight-year period, both Jack and Andy would like to pay them back as soon as possible at which point the Co-op hopefully will be in a position to begin paying member dividends. Now the task is to prepare pro forma statements for 2005-2007 to determine the remaining external funding needs before their meeting with National Cooperative Bank. additional square footage and product offerings of the new store along with the new member campaign and advertising budget, they expect sales in 2005 will be somewhere between $3,300,000 and $3,600,000, roughly a 30%-40% increase over 2004 After that initial bump, a more conservative sales growth of 10% per year will be the target though it could be more if all goes well. They would like to keep the short-term line of credit at no more than $35,000, less if possibleWhile the member loans can be paid off over a six- to eight-year period, both Jack and Andy would like to pay them back as soon as possible at which point the Co-op hopefully will be in a position to begin paying member dividends. Now the task is to prepare pro forma statements for 2005-2007 to determine the remaining external funding needs before their meeting with National Cooperative Bank.

Answer rating: 100% (QA)

To prepare pro forma financial statements for 20052007 and determine the remaining external funding needs you will need to project the Coops income st... View the full answer