The actual 2022 balance sheet and partially completed 2023 projected financial statements for MBA, Inc. are shown below. Use this financial data along with the assumptions below to complete the projected statements for 2023 by filling in the boxes. All the data are in $ millions.

Be careful. Each box is worth 1.4 points and there is no partial credit! Negative numbers (e.g., expenses on the income statement, etc.) must be shown in parentheses. DO NOT USE DOLLAR SIGNS OR DECIMAL POINTS. ROUND all calculations to the nearest million dollars!

Make the following assumptions when completing the financial statements:

1. Sales were $5,000 million in 2022 and Expected sales growth for 2023 is 15%.
2. Inventory turnover (Cost of Goods Sold/Average Inventory) was equal to 6.1 in 2022. The same inventory turnover is expected for 2023.
3. PP&E acquisitions in 2023 will amount to $ 1800 and one acre of land is projected to be sold at cost.
4. Interest Expense is expected to be 6% of the average of Short term debt (STD) and Long term debt (LTD) during the year.
5. There will be no repayments of debt and no repurchase of common stock in 2023.

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MBA, Inc. Projected Financial Statements for 2023 Balance Sheet (at year end) 2023 2022 Cash 45 Accounts Receivable 175 100 Inventory 500 PPE 6,975 5,325 Less: Accumulated depreciation (2,925) (1,700) Total Assets 5,000 4,270 Accounts payable 300 306 STD 786 714 LTD 2,000 Total Liabilities 3,586 3,020 Com Stock 450 RE 919 800 Total Stockholders' Equity 1,414 1,250 Total liabilities and TSE 5,000 4,270 Income Statement Net Sales Cost of Goods Sold Operating Expenses Interest expense Income Before Taxes Income tax expense Net Income 450 (135) 315 Statement of Cash Flows Net Income 315 Depreciation Expense Change in Accounts Receivable Change in Inventory (200) Change in Accounts Payable Cash Flow from Operations Acquisition of PPE Sale of PPE Cash flow from Investing NetSTD issued(repaid) NetLTD issued(repaid) Common Stock issued (repurch.) Dividends Cash Flow from Financing Increase (Decrease) in cash (1,650) MBA, Inc. Projected Financial Statements for 2023 Balance Sheet (at year end) 2023 2022 Cash 45 Accounts Receivable 175 100 Inventory 500 PPE 6,975 5,325 Less: Accumulated depreciation (2,925) (1,700) Total Assets 5,000 4,270 Accounts payable 300 306 STD 786 714 LTD 2,000 Total Liabilities 3,586 3,020 Com Stock 450 RE 919 800 Total Stockholders' Equity 1,414 1,250 Total liabilities and TSE 5,000 4,270 Income Statement Net Sales Cost of Goods Sold Operating Expenses Interest expense Income Before Taxes Income tax expense Net Income 450 (135) 315 Statement of Cash Flows Net Income 315 Depreciation Expense Change in Accounts Receivable Change in Inventory (200) Change in Accounts Payable Cash Flow from Operations Acquisition of PPE Sale of PPE Cash flow from Investing NetSTD issued(repaid) NetLTD issued(repaid) Common Stock issued (repurch.) Dividends Cash Flow from Financing Increase (Decrease) in cash (1,650)