Southwest Supply, Inc.
Balance Sheets December 31, 2004, 2005, 2006, 2007 and 2008
Historical 12/31/2004
Assets
Historical 12/31/2005
Forecast 12/31/2006
Forecast 12/31/2007
Forecast 12/31/2008
Current Assets Cash and cash equivalents Inventory Accounts receivable Prepaid expense
Total
$76,432 155,964 212,824 5,127 450,347
$26,865 173,750 240,962 5,650 447,227
$256,623 215,993 281,428 5,806 759,850
$745,857 232,943 306,908 5,726 1,291,434
$1,287,274 251,455 332,366 5,738 1,876,833
Property and Equipment Land Buildings and improvements Equipment Office equipment Autos Accumulated depreciation
Total
58,000 145,765 273,530 201,887 65,210 (195,965) 548,427
58,000 157,378 296,525 179,965 65,210 (176,340) 580,738
68,000 307,378 301,525 179,965 65,210 (252,016) 670,062
68,000 307,378 301,525 179,965 65,210 (329,584) 592,494
68,000 307,378 301,525 179,965 65,210 (409,044) 513,034
Other Assets Other receivables
Total Total
12,100 12,100 $1,010,874
12,100 12,100 $1,040,065
12,100 12,100 $1,442,012
12,100 12,100 $1,896,028
12,100 12,100 $2,401,967
Liabilities & Equity
Current Liabilities Accounts payables Current portion of LTD Withheld and accrued taxes
Total
$134,016 14,832 11,668 160,516
$149,625 12,639 15,639 177,903
$180,332 13,757 8,386 202,475
$193,796 14,974 8,871 217,641
$209,140 16,298 9,521 234,959
Long Term Liabilities Note payable
Total
198,654 198,654
177,936 177,936
164,179 164,179
149,205 149,205
132,907 132,907
See accompanying Summary of Significant Forecast Assumptions and Accounting Poliices. 1
Southwest Supply, Inc.
Balance Sheets December 31, 2004, 2005, 2006, 2007 and 2008
Historical 12/31/2004
Historical 12/31/2005
Forecast 12/31/2006
Forecast 12/31/2007
Forecast 12/31/2008
Liabilities & Equity
Stockholders' Equity Common stock Retained Earnings
Total Total
$125,000 526,704 651,704 $1,010,874
$125,000 559,226 684,226 $1,040,065
$125,000 950,358 1,075,358 $1,442,012
$125,000 1,404,182 1,529,182 $1,896,028
$125,000 1,909,101 2,034,101 $2,401,967
See accompanying Summary of Significant Forecast Assumptions and Accounting Poliices. 2
Southwest Supply, Inc.
Statements of Operations For the years ending December 31, 2004, 2005, 2006, 2007 and 2008
Historical 12/31/2004
Revenue Sales Returns and allowances
Total
Historical 12/31/2005 $2,658,844 (135,600) 2,523,244
Forecast 12/31/2006 $2,947,859 (151,921) 2,795,938
Forecast 12/31/2007 $3,230,335 (172,129) 3,058,206
Forecast 12/31/2008 $3,512,811 (192,447) 3,320,364
$2,395,985 (117,430) 2,278,555
Cost of Sales Purchases Supplies Direct Labor
Total Gross Profit
655,994 102,043 347,676 1,105,713 1,172,842
746,242 127,781 402,970 1,276,993 1,246,251
726,945 139,056 388,681 1,254,682 1,541,256
795,134 156,914 412,393 1,364,441 1,693,765
863,295 174,761 448,526 1,486,582 $1,833,782
Operating Expenses Administrative wages and salaries Depreciation Insurance Miscellaneous expense Officer's compensation Payroll taxes Rent Repairs and maintenance Telephone Travel and entertainment Utilities
Total Income(Loss) from Operations
374,950 72,965 14,255 9,854 147,500 75,513 47,539 2,553 13,975 24,673 27,459 811,236 361,606 (17,765) (17,765) 343,841
397,543 73,250 15,765 9,665 165,500 83,831 49,865 2,650 12,750 28,540 28,559 867,918 378,333 (16,754) (16,754) 361,579
417,420 75,676 17,344 10,336 182,052 98,818 52,356 2,988 12,148 33,852 29,925 932,915 608,341 (15,715) (15,715) 592,626 201,494 201,494
438,292 77,568 19,080 10,792 200,256 105,094 54,972 3,260 11,392 38,796 32,052 991,554 702,211 (14,598) (14,598) 687,613 233,789 233,789 $453,824
460,208 79,460 20,988 11,248 220,280 112,901 57,720 3,536 10,632 43,744 34,656 1,055,373 $778,409 (13,380) (13,380) $765,029 260,110 260,110 $504,919
Other Income(Expense) Interest expense
Total Income(Loss) Before Taxes
Provision for Taxes Federal corporate income tax
Total Net Income
$343,841
$361,579
$391,132
See accompanying Summary of Significant Forecast Assumptions and Accounting Poliices. 3