Question: Q2. Merve plans to start a bookstore business. She has obtained the industry ratios to prepare the balance sheet and forecasted a net income

Q2. Merve plans to start a bookstore business. She has obtained the

Q2. Merve plans to start a bookstore business. She has obtained the industry ratios to prepare the balance sheet and forecasted a net income of $140,000. Complete the balance sheet using the ratios given and interpret briefly the performance for the first year. Merve bookstore company Proforma Balance sheet for the year ended December 31, 2021, Liability&sh's equity t. current liabilities long term debt. total debt net profit Assets Cash Accounts receivable Inventory Total current assets Fixed assets Total assets Equity Tot.liab, and Sh's eq. current ratio: 1.6 Collection period: 58 days. inventory turn:6(based on sales) current liab.to equity: 0.4 total debt to total equity: 1 ROE: 0.1 net profit margin: 0.05

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