UMUC Balance Sheet NPV Cash Equivalents Raw Materials & Accounts Payable Worksheet

I’m working on a accounting exercise and need a sample draft to help me understand better.

Using the below information, please create a balance sheet.

1. Balance Sheet Data for Beginning of 20XX:
   • Cash and cash equivalents = $10000
   • Accounts receivable = $0 (Cash is received at time of sale)
   • Raw materials inventory = $10500
   • Equipment = $5000 (This includes the $1000 cost of the equipment sold in 20XX).
   • Accumulated depreciation = $1,000 (This includes the accumulated depreciation of 200 for the equipment sold in 20XX.
   • Accounts payable = $0 (Cash is paid at the time of purchase.)
   • Note payable = $5000 (This is the note payable which is repaid in 20XX)
   • Common stock = $15000
   • Retained earnings = $4500

   Using the below information, please find NPV and explain findings:

2. Net Present Value: The Lees are considering adding a new piece of equipment that will speed up the process of building the bobble heads. The cost of the piece of equipment is $52000. It is expected that the new piece of equipment will lead to cash flows of $17000, $23000, and $30000 over the next 3 years. If the appropriate discount rate is 8%, what is the NPV of this investment? Explain the findings.