Task 1: Use the information given in the case, but dont be afraid to include your own experiences with dentists in your analysis.

Task 2: Use the Excel file posted. In sheets "Exh1" and "Exh2" are the financial statement data. In sheet "Base_Case" is the completed base case valuation forecast.

Task 3: Use the case as a guide for scenarios. Please do not just randomly make scenarios.

PLEASE ANSWER TO THE BEST OF YOUR ABILITY

Chang Dental Clinic Exhibit 1 INCOME STATEMENTS For the year ended December 31 Chang Dental Clinic Exhibit 2 BALANCE SHEET As of December 31 \begin{tabular}{|l|l|l|} \hline 2005 & 2004 & 2003 \\ \hline \end{tabular} ASSETS Current assets Cash Accounts receivable Inventory Prepaid expenses Total Current Assets Long-term Assets Fixed assets Less: Accumulated amortization - fixed assets Net fixed assets Goodwill Total Long-term Assets \begin{tabular}{r|r|r|} 1 & 1 & 1 \\ \hline 39.240 & 41,455 & 27,722 \\ \hline \end{tabular} TOTAL ASSETS \begin{tabular}{r|r|r|} 598,261 & 587,999 & 559.927 \end{tabular} LIABILITIES AND OWNER'S EQUITY Liabilities Bank indebtedness Accounts payable Total Liabilities OWNER'S EQUTY S. Chang, Capital \begin{tabular}{rr|r|} \hline 87,332 & 77,236 & 43,553 \\ \hline \end{tabular} TOTAL LIABILITIES AND OWNER'S EOUITY \begin{tabular}{|l|r|r|} 598,261 & 587,999 & 559,927 \\ \hline \end{tabular} Chang Dental Clinic Exhibit 1 INCOME STATEMENTS For the year ended December 31 Chang Dental Clinic Exhibit 2 BALANCE SHEET As of December 31 \begin{tabular}{|l|l|l|} \hline 2005 & 2004 & 2003 \\ \hline \end{tabular} ASSETS Current assets Cash Accounts receivable Inventory Prepaid expenses Total Current Assets Long-term Assets Fixed assets Less: Accumulated amortization - fixed assets Net fixed assets Goodwill Total Long-term Assets \begin{tabular}{r|r|r|} 1 & 1 & 1 \\ \hline 39.240 & 41,455 & 27,722 \\ \hline \end{tabular} TOTAL ASSETS \begin{tabular}{r|r|r|} 598,261 & 587,999 & 559.927 \end{tabular} LIABILITIES AND OWNER'S EQUITY Liabilities Bank indebtedness Accounts payable Total Liabilities OWNER'S EQUTY S. Chang, Capital \begin{tabular}{rr|r|} \hline 87,332 & 77,236 & 43,553 \\ \hline \end{tabular} TOTAL LIABILITIES AND OWNER'S EOUITY \begin{tabular}{|l|r|r|} 598,261 & 587,999 & 559,927 \\ \hline \end{tabular}