| | Total Dividend paid was $1,000,000 | | Project 1 | | Income Statement | | Company B Declares a $1,000,000 Dividend | | | | | | | | | | | | | | | | Company A | | Company B | | | | | | | | Revenues | | $ 10,695,652 | | $ 6,920,384 | | Cost of Goods Sold | | 7,448,067 | | 5,135,927 | | Gross Profit | | $ 3,247,585 | | $ 1,784,457 | | Operating and Selling Expenses | | 2,535,373 | | 103,558 | | Asset Impairment | | 70,226 | | 11,376 | | General and Administrative Expenses | | 672,827 | | 1,645,245 | | Net Income from Operations | | $ (30,841) | | $ 24,278 | | Non-Controlling Interest In Income | | 107 | | (12,694) | | Other Income/(Loss) | | (26,485) | | 698,748 | | Income Tax (Expense) Benefit | | (1,697) | | (248,722) | | Net Income | | $ (58,916) | | $ 461,610 | | | | | | | Project 1 | | Balance Sheet | | Company A Buys 10% of Company B | | | | | | | | | | | | Company A | | Company B | | | | | | | | | Assets | | | | | | | Current Assets | | $ 2,696,190 | | $ 1,915,316 | | | Investment in Company B | | | | | | | Investments | | | | 992,500 | | | Other Intangible Assets | | | | 80,765 | | | Equipment | | 856,341 | | 352,226 | | | Other Assets | | 360,515 | | 266,181 | | | Deferred Tax Assets | | 33,421 | | 177,327 | | | Goodwill | | 64,312 | | | | Total Assets | | $ 4,010,779 | | $ 3,784,315 | | | | | | | | | Liabilities | | | | | | | Current Liabilities | | $ 2,045,968 | | $ 1,056,641 | | | Long Term Liabilities | | 916,862 | | 1,648,684 | | Total Liabilities | | $ 2,962,830 | | $ 2,705,325 | | | | | | | | | Stockholder's Equity | | | | | | | Non-Controlling Interest | | $ 107 | | $ 44,617 | | | Common Stock | | 2,917 | | 217,209 | | | Preferred Stock | | 386,401 | | 27,391 | | | Additional Paid In Capital | | 1,119,775 | | 1,018,667 | | | Treasury Stock | | (57,733) | | | | | Retained Earnings | | (403,518) | | (228,894) | | Total Stockholer's Equity | | $ 1,047,949 | | $ 1,078,990 | | | | | | | | | Total Labilities and Stockholder's Equity | $ 4,010,779 | | $ 3,784,315 | | | | | | | | | | | | | | |
