Glenn’s Glue Stick Inc.

Income Statement Items

Sales $5,750,000

Inventory September 2013 $21,000

Purchases $1,500,000

Inventory September 2014 $27,600

Expenses

Gen and admin $38,000

Selling Expense $65,000

Depreciation Expense $10,000

Interest expense $16,000

Rent expense $40,000

 Glenn’s Glue Stick Inc.
Income Statement
For fiscal year 2014

Sales $5,750,000

Costs of Goods Sold

Inventory 2013 $21,000
Purchases $1,500,000
Less Inv. 2014 $27,600
Cost of Goods Sold $1,493,400

Gross Income $4,256,600

Operating Expenses
General and Admin $38,000
Depreciation $10,000
Selling Expenses $65,000
Rent $40,000
Salaries $350,000
Machinery Cost $100,000
Maint&Rep $10250
Total Operating Expense ($613,250)

Income From Operations $3,643,350

Less: Interest Expense ($16,000)

Net Income Before Tax $3,627,350

Income Tax 25% ($906,837.5)

Net Income After Tax $2,788,013

 Glenn’s Glue Stick Inc.
Statement of Retained Earnings
Fiscal Year September 2014

Retained Earnings 2013 $55,000

Plus: Net Income $2,788,013
Less: Dividends ($2,700,000)

Retained Earnings 2014 $143,013

 Glenn’s Glue Stick Inc.
Balance Sheet
Fiscal Year 2014

Assets
Current Assets
Cash $25,000
Accounts Receivable $232,000
Inventory 2014 $27,600
Total Current Assets $284,600

Fixed Assets
Glue Making Machinery Net $70,000
Windsurfer $8,500
Total Fixed Assets $78,500

Total Assets $363,100

Liabilities
Current Liabilities
Notes Payable $24,000
Accounts Payable $35,000
Current Portion Long Term $12,500
Working Capital Loan $23,587
Income tax Payable $20,000
Total Current Liabilities $115,087

Long Term Liabilities

Long Term Loan $75,000
Total Long Term Liabilities $75,000

Equity
Common Stock $30,000
Retained Earnings $143,013

Total Shareholders Equity $173,013

Total Liabilities and Shareholders Equity $363,100