The Starlight, Inc. financial statements for the fiscal year ended June 30, 2013, are presented below. The

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The Starlight, Inc. financial statements for the fiscal year ended June 30, 2013, are presented below. The firm's sales are projected to grow at a rate of 20 percent next year, and all financial statement accounts will vary directly with sales. Based on that projection, develop a pro forma balance sheet and income statement for the fiscal year ending June 30, 2014.
Starlight, Inc., Balance Sheet as of June 30, 2013
The Starlight, Inc. financial statements for the fiscal year ended

Starlight, Inc. Income Statement for the Fiscal Year Ended June 30, 2013
Net Sales ....................................... $1,450,000
Costs ................................................ 812,500
EBITDA ......................................... $ 637,500
Depreciation ....................................... 175,000
EBIT ............................................. $ 462,500
Interest ............................................... 89,575
EBT ............................................. $ 372,925
Taxes (35%) ...................................... 130,524
Net income ..................................... $ 242,401

Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...
Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...
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Related Book For  answer-question

Fundamentals of Corporate Finance

ISBN: 978-1118845899

3rd edition

Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates

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