Buckner Auto Repair, Inc. Statement of Earnings and Retained Earnings For the Years Ended December 31, 2011 2010 2009 Revenue Sales - Parts 182,706 168,945 162,456 Sales - Labor 107,639 103,232 99,571 Sales - Resale 7,850 6,589 6,712 Sales - Auto 7,800 5,000 22,000 Returns and Allowances (412) (450) (360) Net Sales 305,583 283,316 290,379 Cost of Goods Sold Purchases - Parts 61,347 59,878 58,943 Direct Labor 70,000 67,500 65,000 Shop Supplies 890 834 888 Subcontractors 4,000 3,600 3,000 Autos Purchased 3,500 2,500 7,500 Total Cost of Goods Sold 139,737 134,312 135,331 Gross Profit 165,846 149,004 155,048 Operating Expenses Officer's Salary 60,000 60,000 60,000 Rent 16,000 14,000 13,000 Payroll Taxes 13,000 12,500 12,200 Insurance 6,654 6,277 6,143 Professional Fees 3,600 3,600 3,000 Utilities 2,567 2,378 2,690 Office Equipment Lease 2,400 2,400 1,800 Shop Repairs and Maintenance 1,879 1,109 1,567 Dues and Subscriptions 1,850 1,800 2,000 Telephone 1,453 1,345 1,312 Advertising 1,200 1,150 1,100 Office Expenses 876 768 912 Alarm 300 300 250 Licenses and Permits 120 120 120 Bank Service Charges - 24 30 Total Operating Expenses 111,899 107,771 106,124 Earnings From Operations 53,947 41,233 48,924 Other Expenses Depreciation 5,000 3,000 3,000 Amortization 2,000 2,000 2,000 Interest Expense 2,500 800 650 Total Other Expenses 9,500 5,800 5,650 Earnings Before Taxes 44,447 35,433 43,274 Provision for Income Taxes 13,334 10,630 12,982 Net Earnings 31,113 24,803 30,292 Beginning Retained Earnings 157,881 143,078 122,786 Dividends (10,000) (10,000) (10,000) Ending Retained Earnings 178,994 157,881 143,078 Prepare a statement of cash flows for the most recent three years and prepare any ratios analyses you deem appropriate.