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Consider the following simplified financial statements for the Yoo Corporation (assuming no income taxes): Income Statement Balance Sheet Sales $ 47,300 Assets $ 24,900 Debt
Consider the following simplified financial statements for the Yoo Corporation (assuming no income taxes):
Income Statement | Balance Sheet | ||||||||||
Sales | $ | 47,300 | Assets | $ | 24,900 | Debt | $ | 6,900 | |||
Costs | 40,670 | Equity | 18,000 | ||||||||
Net income | $ | 6,630 | Total | $ | 24,900 | Total | $ | 24,900 | |||
The company has predicted a sales increase of 20 percent. It has predicted that every item on the balance sheet will increase by 20 percent as well. |
Create the pro forma statements and reconcile them. (Input all amounts as positive values. Do not round intermediate calculations.) |
Pro forma income statement | Pro forma balance sheet | |||||||
Sales | $ | Assets | $ | Debt | $ | |||
Costs | Equity | |||||||
Net income | $ | Total | $ | Total | $ | |||
What is the plug variable? |
The plug variable is |
in the amount of $ .
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