all i need us question number 2, but u will need the rest to solve it.

INTEGRATED HOLDING INCOME STATEMENT DE 13019 INTEGRATED TOLDING INCOME STATEMENT FORECASTED NUMBERS 21 BE Revo kostol Revenue I -R137 -17.06-19175-15633 19 250 Depreciation 3934 sas ha Pro Selling General Admin Expenses Total 1355 -0.32 116 Others Foreign exchange in Other Operating Income 1817 pus BE 18 135 591 Drome 150 61 Los 67 Netcom BefTe Income Tunes Netcome Actual Notes: IHC has international operations. 10% of revenue comes from the operations in QATAR and 90% of revenue comes from the operations in KUWAIT . While forecasting revenue, we expect Revenue to change by the GDP growth rate every year. You can find GDP growth rates for countries in the excel file on Moodle. (See Week 24 May - 30 May) The numbers you see in the IMF GDP growth file are in percentages (%). For instance, if you see this means 2% increase in GDP from the previous year, if you see -3, this means 3% decrease in the GDP from previous year. Depreciation expense will continue with the same amount at each year. Salaries of staff will increase by 2% every year. All other revenue, gain and expenses will change by the GDP growth rate of KUWAIT After 2021, GDP growth rate will be the same for 2021. Required: QUESTION 1) (50 pts) Prepare forecasted Income Statement for 2020, 2021, 2020, 2022, 2023 and 2024. For 2020: First, I found the GDP ratios for Kuwait and Qatar. For Kuwait in 2020 the GDP-1.1 and in 2021 the GDP 3.4 and for Qatar the GDP of 2020 is -4.3 and in 2021 will be 5 and because of the instructions says that Kuwait have 90% and Qatar have 10% so we divide it for two parts just to explain what will happen. The revenue is 29595 so Kuwait have 655 and Qatar have Required: QUESTION 1) (50 pts) Prepare forecasted Income Statement for 2020, 2021, 2020, 2022, 2023 and 2024. For 2020: First, I found the GDP ratios for Kuwait and Qatar. For Kuwait in 2020 the GDP-1.1 and in 2021 the GDP 3.4 and for Qatar the GDP of 2020 is -4.3 and in 2021 will be 5 and because of the instructions says that Kuwait have 90% and Qatar have 10% so we divide it for two parts just to explain what will happen. The revenue is 29595 so Kuwait have 26635.5 and Qatar have 2959.5 Kuwait forecasting calculation for 2020: Revenue: 26635.5 + -1.1%-26342.5 For the cost of revenue: -18,137 - 10% = -16,323 (90%) -16,323 + -1.1%--16143 Qatar forecasting calculation for 2020: Revenue: 2959.5 + -4.3% -2832.2 Cost of revenue: -18,137 - 90%--1813 -1815 +-4.3%--1737 We add the two numbers and it will be 29174.7 as new revenue for 2020 (26342.5 + 2832.2) The new cost of revenue is -16143 + -1,737--17,880 Depreciate it will the come as it written in the instructions and notes Suff co the surf costi di increases fi-6.06.2013 Other: free instructions it says the it follow the GDP rate of Kuwait -3.381-3.356 Gross Profit will change to 11.05 Selling Games To Sulcoscrease 2 each year so from 1355 1383 Depreciation will be the same each year so-362 Others-978-1.145.77 Forinchang 2000 GBP Kuak 312-11513 Usual expenses follows Kvail 2000 GDP-3093 -1.14-2020 Other Operating Income follows a GDP III rating in 5411 Interest Expense Fellows Kuwak 2000 GDP 53.1.1--515 Direction follows Kwal GDP-6011-59 Net Income Beifone Tunes 1540 Income Taxes Followers Kawai GDP-437-1943 For 2021: Revenue: 29174 divided by two (Kuwait 90%, Qatar 10%) Kuwait GDP for 2021 = 3.4.. Qatar GDP = 5 29174 -10% -26,256 (90%) Kuwait operations 29174 - 26256 - 2918 (10%) For Kuwait: 26,256 +3.4% -27149 Cost of revenue =-17880 - 10% =-16092 -16092 +(3.4%) --16639 For Qatar: 2918 + 5%-3064 Cost of revenue--17880 - 16092=-1788 -1788 + (5%) = -1877 Total Revenue for 2021 - 27149 + 3064 = 30213 Total cost of revenue for 2021=-16639 +-1877=-18516 2013 30.213 1516 7910 7,101 3.494 Cost od Revue Depreciation came each year Surfcastin Others follows Kuwait 2014 Kiren Pretul Selling General Admin Expenses, Total Starost: incecach year Deprecisame every year Others follows Kuwait 2021 GDP-.977-3.4% orci exchange in follows Kuwait 2021 GDP -2681 1,400 100 3:39 2100 ISSN 2,073 $35 Unexpense-30704 Other Operating Income 1797-3. Operating comel erest Expense-51843.276 Director 9939 Net Income Before Tank income Tunes-412 Net Income For 2022: The GDP for Kuwait increase %3.4 and Qatar increase 5% Revenue: 30213 - 10% = 27191 (90%) Kuwait operations 30213 - 27191 = 3022 (10%) Qatar operations 27191 + 3.4%= 28115 Kuwait revenue increase 3022 + 5%=3173 Qatar revenue increase Total revenue=28115+3173=31288 For cost of revenue: -18516-10%=-16664 Kuwait cost of revenue -18516- 90%=-1852 Qatar cost of revenue -16664 + 3.4% -17230 total cost of revenue in Kuwait for 2022 -1852+ 5% = -1945 total cost of revenue in Qatar for 2022 Total cost of revenue for 2022: -17230 +-1945=-19175 23 -19175 29 7150 Cost of Revenue Depreciate the same every year Sualcolici 29 Others follows Kuwait GDP for 2002-3494 3. Karen Profie Selling Ciencial Admin Expensel, Total Staff cost inca 2% Deposition the same cachycar Others follows Kuwa GDP for 2022-1010 3612 112113 270 1437 10 Foreign exchange follows www GDPR 2022 339 3.46 Unal expert follows a GDP for 2022 13:45 Other Operating Income follows Kuwait GDP for 1022 1858+3.4% King Income Interest Expenses follows Kuwait GDP for 2002 33534 Directors romanation follows kwa GDP for 43 Net Income Before Income Taxes follows a GDP 2002-405 Net Income For 2023 GDP Kuwait is 3.4% 2020 Qatar 5% Revenue 90% for Kuwait 31288-1096-28159 25159+3.4529116 10% for Qatar 31285-907-3129 31293285 Total 291163205 1201 Kost of Reven For wait:-1917-19258 Qatar -19175.00-1917 1917.4.2012 -17844 +-2012- Deprecisame every year -7930 Staffost incre25 Others follows Kuwait GDP for 2023 -36124349 1-3734 Kore Preis 12545 Selling General Admin Expenses. Total Staff cost increase 246 Deprecisame every year Others follows Kuwait GDP for 2123-1044 -3079 Foreign exchange gain: follows Kuwait GDP 1986 Unusual expense: follows Kuwait GDP for Cher Operating Income: follows Kusal GDP Sor2023 1921.3.4% Operating Income Interest Expense: follows Kuwail GDP for 223 -553-3.45 Directes remuneration follows Kwal GDP Net Income Before Tones Income Taxes: follows Kuwait GDP for 2023 461-10 Net Income 1034K For 2024: KODP Kuwailis 3.4% ata Revor ww123201-10 19161 1.43015 10% for Qatar 33401-47-3340 29-3000 To 2100 Cost od Rere For kuwait-19856-10-1370 17870434-18475 For Qutar-19856-1956 3554 -1847.30 Deprecisame every year Staff costa 25 Others follows a GDP for 2004 - 7 Kines Pro Selling incl Adminispense, Total Suffost increase Depovery the follows a GDP for 2004 1095 33 Foreign scherpe pris: follows Kuwait KD 2004 4914 2 Telepon: follows KOP 2034 2387 +3.26 the Operating theore: ttlems De fo2004 1986 203 10348 Interest Expense follows Kwal GOP 20243713.2% Directori romantic Soos wat GDP 2094652 Net Income Before Trees 9501 Income Taxe forskel DP ben Netcome QUESTION 2) (50 pts) Assuming that IHC will distribute 100% of net income to the shareholders at the end of each year, find the IHCs equity value as of January 1, 2020 using Dividend Discount Model. (Cost of equity is 12%) Show your calculations. Otherwise your answers will not be graded. ACT 450- Financial Statement Analysis-Spring 2020 Page 113