Now complete the tables to develop pro forma financial statements for $1993$ and $1994.$ For these calculations, assume that the bank is willing to maintain the present credit lines and to grant an additional $$12,750,000$ of short$-$term credit on January $1,1993.$ In the analysis, take account of the amounts of inventory and accounts receivable that would be carried if inventory utilization $($based on the cost of goods sold$)$ and days sales outstanding were set at

Case $14$: Garden State Container Corporation: Directed

industry$-$average levels. Also, assume in your forecast that all of Garden State's plans and predictions concerning sales and expenses materialize and that the firm pays no cash dividends during the forecast period. Finally, in your calculations use the cash and marketable securities account as the residual balancing figure.

TABLE $1$

Historical and Pro Forma Balance Sheets for Years Ended December $31($in Thousands of Dollars$)$

$\backslash$table$[[\backslash$table$[[$Assets:$],[$Cash and marketable$]],1990,1991,1992,$Proforma$],[1993,1994],[\backslash$table$[[9,930],[34,196],[39,791]],\backslash$table$[[$$$7,363$