5.30 (LO 5) Preparing pro-forma financial statements Bill Thomas, Bates & Hill's controller, has received all the budgets prepared by the various operating units (see Exercises 5.8, 9, 11, 15, 17, 19, 20, 23, 25, and 29) and is ready to compile the pro-forma financial statements for the first quarter. The company's balance sheet as of December 31 is as follows: Cash $ 32,400 Accounts Receivable, net 98,200 Raw Materials Inventory 22,500 Finished Goods Inventory 49,280 Property, Plant, & Equipment 300,000 Accumulated Depreciation (75,000) Total Assets $427,380 Accounts Payable $ 18,000 Income Tax Payable 26,400 Common Stock 100,000 Retained Earnings 282,980 Total Liabilities & Owners' Equity $427,380 The company expects a 30% income tax rate, and all quarterly taxes are paid in the first month of the following quarter. Required a. Prepare Bates & Hill's pro-forma income statement for the first quarter. b. Prepare Bates & Hill's pro-forma balance sheet as of March 31. 5.30 (LO 5) Preparing pro-forma financial statements Bill Thomas, Bates & Hill's controller, has received all the budgets prepared by the various operating units (see Exercises 5.8, 9, 11, 15, 17, 19, 20, 23, 25, and 29) and is ready to compile the pro-forma financial statements for the first quarter. The company's balance sheet as of December 31 is as follows: Cash $ 32,400 Accounts Receivable, net 98,200 Raw Materials Inventory 22,500 Finished Goods Inventory 49,280 Property, Plant, & Equipment 300,000 Accumulated Depreciation (75,000) Total Assets $427,380 Accounts Payable $ 18,000 Income Tax Payable 26,400 Common Stock 100,000 Retained Earnings 282,980 Total Liabilities & Owners' Equity $427,380 The company expects a 30% income tax rate, and all quarterly taxes are paid in the first month of the following quarter. Required a. Prepare Bates & Hill's pro-forma income statement for the first quarter. b. Prepare Bates & Hill's pro-forma balance sheet as of March 31