Balance Sheet Los Lobos
Balance Sheet
Assets Dec 31 2007 Dec 31 2006
Current Assets Cash $35,000 32,000 Accounts receivable 33,000 30,000 Allowance for doubtful accounts (1,300) 31,700 (1,100) 28,900 Inventory 31,000 47,000
Total Current Assets 97,700 107,900 Property, plant, & equipment 100,000 95,000 Accumulated depreciation (16,500) 83,500 (15,000) 80,000
Total Assets 181,200 187,900
Liabilities and Stockholders Equity
Current Liabilities
Trade accounts payable 25,000 15,500 Income taxes payable 21,000 29,100 Deferred income taxes 5,300 4,600 Current portion of long term debt 12,000
Total current liabilities 63,300 49,200 8% callable bonds payable , less current portion 33,000 20,000 Unamortized bond discount (4,500) 28,500 (5,000) 15,000
Total Liabilities 91,800 64,200
Stockholders Equity Common stock 50,000 40,000 Additional paid-in capital 9,100 7,500 Retained earnings 30,300 76,200
Total stockholders Equity 89,400 123,700
Total Liabilities and Stockholders Equity 181,200 187,900 Net Income was added in the retained earnings.

Income Statement 2007 2006 Sales 558,300 778,700 Cost of goods sold (250,000) (380,000) Selling expenses (141,500) (172,000) General and administrative expenses (137,000) (151,300) Interest expense (4,300) (2,600) Income tax expense (20,400) (61,200)
Net Income 5,100 11,600

Los Lobos
Statement of Cash Flows
For the Year Ended Dec 31, 2007
Direct Method Cash Flow from Operating Activities
Cash Receipts
Net Sales per Income Statement 558,300
Add: Beginning Accounts Receivables 28,900
Less: Ending Accounts