It's time to now complete the balance sheet for the first projected year. And before we do that I'm just gonna pop over to the input page and take a look at the balance sheet assumptions. We have assumptions for the working capital as well as for the longterm assets and liabilities. A lot of this is going to be done on the calc page. So what I will do is I will go to the calc page that property plant equipment has been done for us. So that amount we'll be able to just bring onto the balance sheet. We have to do this as well for the equity account. And then we also have the working capital calculation here as well. So the first thing that I'll do is I'll just go ahead and do the the ending equity balance. So for the combo, because the equity was affected by the transaction adjustments that we did on the proforma balance sheet, we really just want the combo ending equity as a jumping off point. So I'm gonna go ahead and link to that on the balance sheet in the proforma or combo year. And that will be our jumping off point for the base calculation for equity. And that becomes my beginning balance in 2016. Now, the net income we have on the income statement and of course, this is not quite accurate yet, because we have a lot more work to do, but that's still going to be a valid placeholder. The preference dividends, I'm gonna hold off on, because that's actually gonna come from the shareholder note or preferred equity calculation on the debt page. I'll do that when I get to that page. I don't wanna link to it yet, 'cause I haven't created the calculation. The common dividends are gonna result from the sale leaseback transaction, that's happening last, so I will leave that in there as well. We do know that dividends are always going to be deductions from our equity. In keeping with consistency, I'm going to enter the dividends as negative, similar to the way I've got my depreciation as a negative up top as a deduction in property plant equipment. So that being the case, I'm just gonna drop in a sum function that will capture all these changes. Now I can go ahead and do the calculations for working capital. For working capital, it's gonna work more like the property plant equipment where we're actually gonna have ending balances as of December, 2015, and then those are going to carry over into 2016. The accounts receivable going to my balance sheet from 2015, and my inventories are right below that as are other current assets. And then I only have one working liability which is the payables, and that's going to be from the same column. Now those become the combo numbers as well. So if I just copy those links over, I'm now linking to my combo year. For the working capital assumptions, they are in days format. We just have to engineer the formulas for the days calculations. So for receivable days, times our revenues and then divided by 365, that's going to give us the accounts receivable pound sterling. For inventories, also calculated on days and I'm flipping this to make it a positive, because it's showing as a negative right now, because the operating expenses that it's based on are showing as a negative on the income statement. So it's gonna be the input times the cost of sales divided by 365.

And the inventory is also based on inventory days. And we're showing this is a negative here, because it just adjusts for the fact that on the income statement we have a positive negative presentation and if we use the days as a negative it flips the sign back to a positive for inventory. Inventory of course should be positive. Other current assets will have a percentage of sales formula, so that's going to be equal to 2.3% times revenues and accounts payable, we will go back to the days format for this and that's gonna be the 58.8 again is a negative times the operating expenses or times the cost of sales here, which are negative divided by 365. And so, our working capital is the sum of the assets minus the liability. We'll use that later, but I'm putting that formula in now. But most importantly, I have these accounts to link to on the balance sheet. So I go to the balance sheet and now I can simply start linking. Copy down, copy across, total current assets is complete. My PP&E has already been done on the calcs page and I'm just making sure that I'm staying consistent in column J, which I am. Now for the intangible assets, we do not have an assumption for increasing intangible assets. Going forward we don't even have any amortization expense, but we should actually model it in in case that assumption does change. So if we link to the amortization expense on the income statement, we just need to remember that it's going to eventually show as a negative if we do in fact have amortization expense in the future. So we just wanna simply take the previous year and add the negative amortization expense so that when we ultimately, if we ultimately have amortization expense, it will reduce the intangible assets. The other longterm assets, we have an assumption and that's just an actual pound sterling amount, 76.1. And then the goodwill, of course. What'll happen with goodwill is this will be tested on an annual basis because we don't have at this point any assumptions for testing the goodwill. What we're basically going to do is just link to the previous year and I'll take my total assets sum from the previous column. So I have skipped cash and I have skipped revolver. That's going to come from the cash analysis on our cash flow statement. The account's payable, I'll pull back from my calculations as well and copy across the current liabilities total. The debt is something we're going to deal with on the debt page. So what we can do here is simply put in a placeholder. The easiest thing to do is just sort of link to the previous year and what that does is it just puts a placeholder in there for us. I mean, so what I will do here is I will link to the previous year for now and we just again have to make sure that we go ahead and fix this. So that'll be all the way down. And then I will copy my totals across. Remember, that it doesn't really matter at this point what we do with that column. The balance sheet will be able to be balanced if we handle the cash flow statement correctly. So now for equity, I can go get that from my calcs and I'll take the 82.4. And now, I've got a balance sheet which will of course be out of balance, because I haven't done anything with the cash or the revolver.