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Integrative-Pro forma statements Provincial Imports, Inc., has assembled past (2019) financial statements (income statement and balance sheet ) and financial projections for use in preparing

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Integrative-Pro forma statements Provincial Imports, Inc., has assembled past (2019) financial statements (income statement and balance sheet ) and financial projections for use in preparing financial plans for the coming year (2020). Information related to financial projections for the year 2020 is as follows: (1) Projected sales are $6,000,000. (2) Cost of goods sold in 2019 includes $1,000,000 in fixed costs. (3) Operating expense in 2018 includes $250,000 in fixed costs. (4) interest expense will remain unchanged. (5) The firm will pay cash dividends amounting to 40% of not profits atter taxes. (6) Cash and inventories will double. (7) Marketable securities, notes payable, long-term debt, and common stock will remain unchanged. (8) Acoounts recoivable, accounte payable, and other current liabilitioe will change in direct response to the change in ealos. (9) A new computer system costing $356,000 will be purchased during the year. Total depreciation expense for the year will be $110,000. (10) The tax rate will reman at 40%. a. Prepare a pro forma income statement for the year ended December 31. 2020, using the fixed cost data given to improve the accuracy of the percent-of-sales method. Complete the pro forma income statement for the year ended December 31, 2020 below: (Round to the nearest dollar.) Intormation related to tinancial projections tor the year 202015 as tolows (1) Projected saies are \$6,000,000 (2) Cost of goods sold in 2019 includes $1,000,000 in fixed costs. (3) Operating expense in 2019 includes $250,000 in fixed costs. (4) Interest expense will remain unchanged (5) The firm wil pay cash dividends amounting to 40% of net profits after taxes (6) Cash and inventories will double (7) Marketable securities, notes payable, long-tem debt, and common stock will remain unchanged. (8) Accounts recevable, accounts payable, and other current labilties will change in direct response to the change in sales. (9) A new computer system costing $356,000 will be purchesed during the year Total depreciation expense for the year will be $110,000. (10) The tax rate will remain at 40% a. Prepare a pro forma income statement for the year ended December 31, 2020, using the foxed cost data given to improve the accuracy of the percent-of-sales method. b. Prepare a pro forma balance sheet as of December 31,2020 , using the information given and the judgmental approach Include a reconcilation of the retaned earnings account. e. Analyze these statements, and discuss the resulting external financing fequifed. a. Prepare a pro forma income statement for the year ended December 31, 2020, using the foxed cost data given to mprove the accuracy of the percent-of-sales method. Complete the pro forma income statement for the year ended December 31, 2020 below (Round to the nearest dollar.) Get more help * Intormation related to tinancal projections for the year 2020 is as follows. (1) Projected sales are $6,000,000. (2) Cost of goods sold in 2019 includes $1,000,000 in fored costs (3) Operating expense in 2019 includes $250,000 in fixed costs (4) Interest expense will reman unchanged. (5) The firm will pay cash dividends amounting to 40% of net profits after taxes (6) Cash and inventories will double. (7) Marketable securites, notes payable, long-term debt, and common stock will remain unchanged (8) Accounts receivable, accounts payable, and onee current liabtes will change in direct response to the change in sales. (9) A new computer 5y stem costing $356,000 will be purchased during the year. Total depeeciation expense for the year will be $110,000. (10) The tax rate will remain at 40%. a. Prepare a pro forma income statement for the year ended December 31, 2020, using the ficed cost data given to improve the accuracy of the percent-of-sales method. b. Prepare a pro forma balance sheet as of December 31, 2020, using the information given and the juifimental approach. Include a reconcilation of the retained earnings account. c. Analyze these statements, and discuss the resulting external financing required Get more help * Data table (Click on the icon here ph in order to copv the contents of the data table below into a spreadsheet.) Data table (Click on the icon here p in order to copy the contents of the data table below into a spreadsheet.) Integrative-Pro forma statements Provincial Imports, Inc., has assembled past (2019) financial statements (income statement and balance sheet ) and financial projections for use in preparing financial plans for the coming year (2020). Information related to financial projections for the year 2020 is as follows: (1) Projected sales are $6,000,000. (2) Cost of goods sold in 2019 includes $1,000,000 in fixed costs. (3) Operating expense in 2018 includes $250,000 in fixed costs. (4) interest expense will remain unchanged. (5) The firm will pay cash dividends amounting to 40% of not profits atter taxes. (6) Cash and inventories will double. (7) Marketable securities, notes payable, long-term debt, and common stock will remain unchanged. (8) Acoounts recoivable, accounte payable, and other current liabilitioe will change in direct response to the change in ealos. (9) A new computer system costing $356,000 will be purchased during the year. Total depreciation expense for the year will be $110,000. (10) The tax rate will reman at 40%. a. Prepare a pro forma income statement for the year ended December 31. 2020, using the fixed cost data given to improve the accuracy of the percent-of-sales method. Complete the pro forma income statement for the year ended December 31, 2020 below: (Round to the nearest dollar.) Intormation related to tinancial projections tor the year 202015 as tolows (1) Projected saies are \$6,000,000 (2) Cost of goods sold in 2019 includes $1,000,000 in fixed costs. (3) Operating expense in 2019 includes $250,000 in fixed costs. (4) Interest expense will remain unchanged (5) The firm wil pay cash dividends amounting to 40% of net profits after taxes (6) Cash and inventories will double (7) Marketable securities, notes payable, long-tem debt, and common stock will remain unchanged. (8) Accounts recevable, accounts payable, and other current labilties will change in direct response to the change in sales. (9) A new computer system costing $356,000 will be purchesed during the year Total depreciation expense for the year will be $110,000. (10) The tax rate will remain at 40% a. Prepare a pro forma income statement for the year ended December 31, 2020, using the foxed cost data given to improve the accuracy of the percent-of-sales method. b. Prepare a pro forma balance sheet as of December 31,2020 , using the information given and the judgmental approach Include a reconcilation of the retaned earnings account. e. Analyze these statements, and discuss the resulting external financing fequifed. a. Prepare a pro forma income statement for the year ended December 31, 2020, using the foxed cost data given to mprove the accuracy of the percent-of-sales method. Complete the pro forma income statement for the year ended December 31, 2020 below (Round to the nearest dollar.) Get more help * Intormation related to tinancal projections for the year 2020 is as follows. (1) Projected sales are $6,000,000. (2) Cost of goods sold in 2019 includes $1,000,000 in fored costs (3) Operating expense in 2019 includes $250,000 in fixed costs (4) Interest expense will reman unchanged. (5) The firm will pay cash dividends amounting to 40% of net profits after taxes (6) Cash and inventories will double. (7) Marketable securites, notes payable, long-term debt, and common stock will remain unchanged (8) Accounts receivable, accounts payable, and onee current liabtes will change in direct response to the change in sales. (9) A new computer 5y stem costing $356,000 will be purchased during the year. Total depeeciation expense for the year will be $110,000. (10) The tax rate will remain at 40%. a. Prepare a pro forma income statement for the year ended December 31, 2020, using the ficed cost data given to improve the accuracy of the percent-of-sales method. b. Prepare a pro forma balance sheet as of December 31, 2020, using the information given and the juifimental approach. Include a reconcilation of the retained earnings account. c. Analyze these statements, and discuss the resulting external financing required Get more help * Data table (Click on the icon here ph in order to copv the contents of the data table below into a spreadsheet.) Data table (Click on the icon here p in order to copy the contents of the data table below into a spreadsheet.)

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