Project, for the year 1992, sales, inventory, accounts receivable, fixed assets, accounts payable, accrued wages and taxes, and retained earnings, using ALL the information provided in the case (including assertions by the management). Compile a proforma balance sheet for 1992, with cash/Notes Payable as the balancing figure. Forecasted sales are 14,500,000.

TABLE 1 Pop's Recycling Company Income Statement Data 1987 1988 1989 1990 1991 Sales $8,200,000 $8.700,000 $9,500,000 $1 1,000,000 $12,000,000 Profit after tax $410.000 440,000 332.000 330,000 336,000 Case 5 Pop's Recycling Company TABLE 2 Pop's Recycling Company Balance Sheet 1987 1989 1990 1991 Cash $290,100 $239,266 $229,500 $215,500 $205,100 Accounts receivable 418,200 488,070 532,950 425,000 634,742 Inventory 964,500 1.171,036 1.489.525 2.598.693 3.220.087 Total current assets $1,672,800 $1,898,372 $2,251,975 $3,239,193 $4,059,929 Fixed assets, net 2,509,200 2.786,061 3,150.513 3.138,540 3.452,383 Total assets $4,182,000 $4.684.433 $5,402 488 $6,377,733 $7,512,312 Accounts payable $385,020 $408,476 $647,869 $1,140,650 $1,550,175 Accrued wages and taxes 510,480 541,098 581,400 610,470 673,130 Notes payable - bank 150,000 78,000 75,000 75,000 75.000 Total current liabilities $1,045,500 $1,027,574 $1,304,269 $1,826,120 $2,298,305 Long-term debt $585,480 665,839 775,200 775,200 1,101,600 Owners' equity 1,020,408 1,020,408 1,020,408 1,143,801 1,143,795 Earned surplus 1,530.612 1.970,612 2.302.611 2,632,612 2.968,612 Total liabilities and equity $4.182,000 $4,684 433 $5.402,488 $6 377,733 $7.512.312TABLE 3 Pop's Recycling Company Selected Operating Data for Major Recyclers, 199/ Profit margin on sales 5 Percent Total debt-to-total assets 25 Percent Inventory-to-sales 28 Percent Accounts payable as a percent of sales 10 Percent Current ratio 1.80:1