Global Corp. expects sales to grow by

8%

next year. Using the percent of sales method and the data provided in the given tables

SEE BELOW

,

forecast:

a. Costs except depreciation b. Depreciation c. Net income d. Cash

e. Accounts receivable f. Inventory g. Property, plant, and equipment h. Accounts payable

(Note:

Interest expense will not change with a change in sales. Tax rate is

25%.)

The Tax Cuts and Jobs Act of 2017 temporarily allows 100% bonus depreciation (effectively expensing capitalexpenditures). However, we will still include depreciation forecasting in this chapter and in these problems in anticipation of the return of standard depreciation practices during your career.

Data table Click on the following icon for the income statement in order to copy its contents into a spreadsheet. Click on the following icon for the balance sheet in order to copy its contents into a spreadsheet. Data table Click on the following icon for the income statement in order to copy its contents into a spreadsheet. Click on the following icon for the balance sheet in order to copy its contents into a spreadsheet