Annabel Corporation

Income Statement
For the year ended June 30, 2016

Sales 2,160,000.00
Less: Cost of Goods Sold
Beginning Invetory 519,000.00
Purchases 1,396,000.00
less ending Inventory 576,000.00 1,339,000.00
Gross Profit 821,000.00
Less: Operating Expenses
Salaries and Wages 313,300.00
Light and Water 75,000.00
Advertising 40,000.00
Supplies 33,000.00
Miscellaneous Expense 179,000.00
Rent 12,000.00
Taxes 25,000.00
Insurance Expense 750.00
Bad Debts Expense 7,925.00
Depreciation Expense 17,200.00 703,175.00
Net Operating Income 117,825.00
Add: Other Income
Interest Income 17,000.00
Unrealized Gain-Marketable Securities 1,000.00
Unrealized Gain-Longterm investment 5,000.00 23,000.00
Sub Total 140,825.00
Less: Other Expenses
Interest Expense 25,100.00
Loss on Sale of Equipment 500.00 25,600.00
Net Income 115,225.00
 Annabel Corporation
Statement of Financial Posistion
as of June 30, 2016

Assets
Current Assets
Cash 85,500.00
Marketable Securities 21,000.00
Net Accounts Receivable(note 1) 207,575.00
Inventory, June 30 2016 576,000.00
Prepaid Expenses 11,150.00
Total Current Assets 901,225.00

Non Current Assets

Investment, Long Term 125,000.00
Equipment(note 2) 99,300.00
Total Non Current Assets 224,300.00
Total Assets 1,125,525.00

Liabilities And Shareholders' Equity

Current Liabilities
Acccounts Payable 266,000.00
Loans Payable 250,000.00
Notes Payable 10,000.00
Dividend Payable 30,000.00
Accrued Expenses 16,300.00
Accrued Interest Payable 22,000.00
Total Current Liabilities 594,300.00

Shareholders' Equity
Capital Stock 300,000.00
Additional Paid in Capital 16,000.00
Retained Earnings(note 3) 215,225.00
Total Shareholders' Equity 531,225.00
Total Liabilities and Shareholders' Equity 1,125,525.00