ASSIGNMENT 1. a. What is your estimate of the 1983 income statement and balance sheet? b. What is your estimate of Return on Assets in 1983? (Assume a 40% tax rate.) How is the company doing in 1983? For simplicity, you may assume that individual price and cost components have not changed between 1983 and 1985. 2. Taking a closer look at cost allocation for manufacturing, selling and shipping expenses, what is your estimate of ovens profit and stoves profit for 19857 3. What is your estimate of the income statement for 1986 if only ovens were sold (30,000 units)? 4. Should Bridgewater drop the stoves product line? 5. How much does it cost, on average, to ship a stove within the core area? How much does it cost, on average, to ship a stove outside the core area? 6. How much does it cost, on average, to generate a sales order for stoves in the core area (order getting costs)? How much does it cost, on average, to generate a sales order for ovens outside the core area? So what? 7. What is your advice to Tim Morrissey