orecasting an Income Statement

ADP reports the following income statement.

AUTOMATIC DATA PROCESSING INC.

Statement of Consolidated Earnings

For Year Ended June $30,2019,$ $ millions

Total revenues $$12,829\mathrm{.}0$

Operating expenses $6,467\mathrm{.}0$

Systems development and programming costs $576\mathrm{.}0$

Depreciation and amortization $304\mathrm{.}4$

Total cost of revenues $7,347\mathrm{.}4$

Selling, general, and administrative expenses $2,773\mathrm{.}0$

Interest expense $118\mathrm{.}0$

Total expenses $10,238\mathrm{.}4$

Other $($income$)$ expense, net $(101\mathrm{.}0)$

Earnings before income taxes $2,691\mathrm{.}6$

Provision for income taxes $645\mathrm{.}0$

Net earnings $$2,046\mathrm{.}6$

Forecast ADP$$s $2020$ income statement assuming the following income statement relations. All percentages $($other than total revenue growth and provision for income taxes$)$ are based on historic percent of total revenues. Dollar figures are in millions

Assumptions

Total revenues growth $13\mathrm{.}00\%$

Depreciation and amortization $$460\mathrm{.}5$

Interest expense No change

Other $($income$)$ expense, net No change

Income tax rate $25\mathrm{.}00\%$

Note: Complete the entire question in Excel using the following template: Excel Template. Format each answer to two decimal places. Then enter the answers into the provided spaces below with two decimal places.

AUTOMATIC DATA PROCESSING INC.

Statement of Consolidated Earnings

For Year Ended June $30,2020,$ $ millions

Total revenues Answer $1$

Operating expenses Answer $2$

Systems development and programming costs Answer $3$

Depreciation and amortization Answer $4$

Total cost of revenues Answer $5$

Selling, general, and administrative expenses Answer $6$

Interest expense Answer $7$

Total expenses Answer $8$

Other $($income$)$ expense, net Answer $9$

Earnings before income taxes Answer $10$

Provision for income taxes Answer $11$

Net earnings Answer $12$