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i need help creating this pro forma income statement. there is three parts. (a.) Use the percent-of-sales method to prepare a pro forma income statement
i need help creating this pro forma income statement. there is three parts. (a.) Use the percent-of-sales method to prepare a pro forma income statement for next year. (b.) Use fixed and variable cost data to develop a pro forma income statement for next year. (c.) Compare and contrast the statements developed in parts a. and b. Which statement probably provides the better estimate of income? Explain why. all information in photos: and here is what part (a) looks like: a. Use the percent-of-sules method to penpare a pro foema income statesnent fipt the year ended December 31.7020 statoment anounts to the nearest idollar) Sales Less Cost of goods sold Gross profits Less: Operating expenses Operating profits Less: Interest oxpense Net profits before taxes Less Taxus Net profits after taxes Less: Cash dividends To retained earnings s 1,680,000 5 5. 37000 5. s 69,000 5 a spreadsheet) of the firm's cost of goods sold and operating expenses into their thed and variable components b. Use flced and varlable cost data to develop a pro forma hoche stateinent for neot yeas
(a.) Use the percent-of-sales method to prepare a pro forma income statement for next year.
(b.) Use fixed and variable cost data to develop a pro forma income statement for next year.
(c.) Compare and contrast the statements developed in parts a. and b. Which statement probably provides the better estimate of income? Explain why.
all information in photos:
and here is what part (a) looks like:
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