Answered step by step
Verified Expert Solution
Question
1 Approved Answer
National Beverage Company projects its 2014 sales to be $25,226,975. Given the following income statement for National Beverage Company for 2013, and the sales forecasts,
National Beverage Company projects its 2014 sales to be $25,226,975. Given the following income statement for National Beverage Company for 2013, and the sales forecasts, prepare a pro forma income statement for 2014.
Income Statement for 2013 | |
Sales revenue | $ 24,088,000 |
Cost of goods sold | $ (8,164,000) |
Selling, general, and administrative expenses | $ (7,616,000) |
Depreciation Expenses | $ (2,388,000) |
EBIT | $ 5,920,000 |
Interest expense | $ (220,000) |
Taxable income | $ 5,700,000 |
Taxes | $ (2,498,000) |
Net income | $ 3,202,000 |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started