What was the total liabilities and stockholder's equity for Carbones Pizzeria?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
dentified during the audit.
Arcadia, California
May 31, 2024
M&T PIZZA INCORPORATED AND SUBSIDIARIES Consolidated Balance Sheet October 31, 2023
Assets
| Cash and cash equivalents | $ 161,252 |
|---|---|
| Accounts receivable, net of allowance for doubtful accounts of $109,133 | 287,928 |
| Due from stockholder | 492,605 |
| Accounts receivable, related party | 107,489 |
| Inventory | 3,650 |
| Prepaid expenses | 19,005 |
| Total current assets | 1,071,929 |
| Note receivable | 60,500 |
| Deferred tax assets | 13,000 |
| Property and equipment, net | 164,212 |
| Total assets | $ 1,309,641 |
| Liabilities and Stockholder's Equity | |
| Current liabilities: | |
| Loan payable, current portion | $ 29,854 |
| Accounts payable and accrued expenses | 31,744 |
| Income taxes payable | 113,000 |
| Total current liabilities | 174,598 |
| Loan payable, net of current portion | 13,592 |
| Total liabilities | 188,190 |
| Commitments and contingencies (Note 5) | |
| Stockholder's equity | |
| Common stock, $1.00 par value, 25,000 shares authorized, | |
| 2,500 shares issued and outstanding | 2,500 |
| Additional paid-in-capital | 266,117 |
| Retained earnings | 887,390 |
| Treasury stocks, at cost | (34,556) |
| Total stockholder's equity |
Source: Item 22 — CONTRACTS (FDD page 30)
What This Means (2025 FDD)
According to Carbones Pizzeria's 2025 Franchise Disclosure Document, the company's liabilities and stockholder's equity totaled $1,309,641 as of October 31, 2023. This figure represents the sum of all the company's obligations to creditors and the value of ownership held by its stockholders. It is a fundamental accounting equation where total assets equal the sum of total liabilities and equity. This balance sheet provides a snapshot of what the company owns and owes at a specific point in time.
Within the total liabilities and stockholder's equity, several components are detailed. Current liabilities, which are obligations due within one year, include a loan payable of $29,854, accounts payable and accrued expenses of $31,744, and income taxes payable of $113,000, totaling $174,598. There's also a loan payable, net of the current portion, amounting to $13,592, bringing the total liabilities to $188,190. The stockholder's equity consists of common stock valued at $2,500, additional paid-in capital of $266,117, retained earnings of $887,390, and treasury stocks at a cost of ($34,556).
For a prospective franchisee, understanding these figures is crucial as it provides insight into the financial structure and health of Carbones Pizzeria. A high level of liabilities compared to equity might indicate higher financial risk, while a strong equity position suggests financial stability. Reviewing these figures in comparison to previous years and industry benchmarks can offer a more comprehensive understanding of the company's financial performance and its ability to meet its obligations and generate returns for its owners. It is important to note that these figures are from October 31, 2023, and the company's current financial situation may have changed.