Question

Pro forma balance sheet. Next year, National Beverage Company will increase its plant, property, and equipment by $4,034,000 with a plant expansion. The inventories will grow by 34%, accounts receivable will grow by 15%, and marketable securities will be reduced by 53% to help finance the expansion. Assume all other asset accounts will remain the same and the company will use long-term debt to finance the remaining expansion costs (no change in common stock or retained earnings). Using this information and the balance sheet in the popup window, for National Beverage Company for 2013, prepare a pro forma balance sheet for 2014. How much additional debt will the company need using this pro forma balance sheet? Complete the pro-forma balance sheet for 2014 below: (Round to the nearest dollar.) National Beverage Company Pro Forma Balance Sheet for the Year Ending December 31, 2014 ASSETS LIABILITIES Current assets Current liabilities Cash $ Accounts payable $ Marketable securities $ Other current liabilities $ Accounts receivable $ Total current liabilities $ Inventories $ Total current assets $ $ Long-term liabilities Long-term debt Other long-term liabilities Total long-term liabilities Long-term assets $ $ $ Plant, property, and equipment Goodwill $ Total liabilities $ $ OWNERS' EQUITY Intangible assets Total long-term assets $ Common stock $ Retained earnings $ Total owners' equity $ TOTAL LIABILITIES AND TOTAL ASSETS OWNERS' EQUITY

Answer 1

Soluhuń calh of value of innenforses, account Receivable and marketable securities and plant, Amt of additional debt with the Co. Co. need. ($) Increase ($) total value in Blo Innenfories 546380 2153 320 (1607670x341) Account Recimble 410400 3146400 2736 70 x 151. Plaut. Propertyaus 40340 oro 177, 28,00 Equipmut 4990780 less Reductus in marketable 848530 752470 Securihis Lorg Additional debt $ 41,42,250 Debt - 54 50 250 valuein Balaner Sher- co. heed the $ 2142 250 of additional debt

National Beverage Company Pro forma Balance shunt for the elegr ending Dec 31, 2014 $ $ Account payable 32,6low Assets 1 abilities 9477cuk Assets Current Liabilities cash 24 650 56 68 ow maketable see. 752470 thes Current liab Account Recinable 31,46,400 tofal Curral liab 8929 V Innentories 21 53 380 long term Liab. 754,50,250 total current Assets 85,1725 Long from dubt tzte Long form Assefs other L.T. dubt 28'45 on punti prop. Egi 177,286 total hat. Leabilise 8295250 Good will 1486000 total Leabilisne | 72,24,250 Intkomible assets 64 obow owner equity 256,22000 Common stock 688600 Refarned earning & 100,29, on total Assels 34139250 total owne equily 169, 1500 torul Leab.and 341,39,250 owners equat total Long te term Ass} +