In the profit and loss worksheet, in the range C8:E8 project the company's income and expenses for the next five years by interpolating the Year 2 through Year 4 revenue assuming a growth trend.

In cell F3, enter 20% as the percent cost of marketing and in cell F4, enter 10% as the percent cost of R&D. In the range B9:F10, use those percentages to calcualte the Year 1 through Year 5 cost of sales. In the range B11:F11, calcualte the gross profit by subtracting the cost of market and R&D from the annual projected revenue.

In the range C14:F14 extrapolate the Year 2 through Year 5 payroll expenses by assumng the payroll grows by 12% per year. In C15:F17, extrapolate the other expenses by assuming the grow by 5% per year from the inital Year 1 values. In the range C18:F18, calcualte the total expense for Year 2 through Year 5.

In the range B21:F21, calcualte the company's initial earnings for each year, equal to thr gross profit minus the total general expenses.

**Please show all fromulas/work**

QR Shopper Business Plan
Pro Forma Profit & Loss Statement
				Percent Cost of Marketing
				Percent Cost of R&D
				Assumed Tax Rate
Income	Year 1	Year 2	Year 3	Year 4	Year 5
Revenue	$ 750,000				$ 1,900,000
Cost of Marketing
Cost of R&D
GROSS PROFIT
Expenses	Year 1	Year 2	Year 3	Year 4	Year 5
Payroll	$ 420,000
Occupancy Costs	80,000
Insurance	20,000
Miscellaneous Expenses	30,000
TOTAL GENERAL EXPENSES	550,000
Earnings	Year 1	Year 2	Year 3	Year 4	Year 5
Initial Earnings
Depreciation
Operating Profit
Interest Expense
Pretax Profit
Tax Liability
After-Tax Profit
Dividends to Shareholders
Retained Earnings