Balance Sheet and Income Statement from ratios :

Financial statement construction via ratios. Incomplete financial statements of Lock Box, Inc

  4.      Financial statement construction via ratios. Incomplete financial statements of Lock Box, Inc., are presented below. LOCK BOX, INC.Income StatementFor the Year Ended December 31, 19X3Sales$ ?Cost of goods sold?Gross profit$15,000,000Operating expenses & interest?Income before tax$ ?Income taxes, 40%?Net income$ ? LOCK BOX, INC.Balance SheetDecember 31, 19X3Assets CashAccounts receivableInventoryProperty, plant, &. equipment     Total assets$ ???8,000,000$24,000,000Liabilities & Stockholders’ Equity Accounts payableNotes payable (short-term)Bonds payableCommon stockRetained earnings     Total liabilities & stockholders’ equity$ ?600,000 4,600,0002,000,000?$24,000,000 Further information:1.     Cost of goods sold is 60% of sales. All sales are on account.2.     The company’s beginning inventory is $5 million; inventory turnover is 4.3.     The debt to total assets ratio is 70%.4.     The profit margin on sales is 6%.5.     The firm’s accounts receivable turnover is 5. Receivables increased by $400,000 during the year. Instructions:Using the preceding data, complete the income statement and the balance sheet.