Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Question 18 Directions: . Build a data table in G21:AB42 that shows what 2021 EPS would be based on the revenue growth rate and

image text in transcribed

Question 18 Directions: . Build a data table in G21:AB42 that shows what 2021 EPS would be based on the revenue growth rate and cost of goods sold / revenue assumptions listed in Table 1. Input the revenue growth rate assumptions horizontally in row 21 and the cost of goods sold / revenue assumptions vertically in column G When you're done, click the done button below. Done! Go to next question Income Statement for Lemonade Co. Revenues Net Profit Shares Outstanding EPS Revenue growth rate Cost of goods sold / Revenue Tax rate Projections 2016 2017 2018 1,500.0 2,500.0 4,500.0 2019 4,950.0 2020 2021 5,445.0 5,989.5 Cost of goods sold 1,200.0 3,400.0 4,000.0 3,960.0 4,356.0 4,791.6 Gross Profit 300.0 (900.0) 500.0 990.0 1,089.0 1,197.9 Operating costs 55.0 65.0 78.0 78.0 78.0 78.0 Non-operating costs 15.0 15.0 15.0 15.0 15.0 15.0 Pretax Profit Taxes 230.0 (980.0) 407.0 897.0 996.0 1,104.9 100.0 (200.0) 150.0 314.0 348.6 386.7 130.0 (780.0) 257.0 583.1 647.4 718.2 115.0 120.0 125.0 125.0 125.0 125.0 $1.13 ($6.50) $2.06 $4.66 $5.18 $5.75 67% 80% 10.0% 10.0% 10.0% 80% 43% 136% 89% 80.0% 80.0% 80.0% 20% 37% 35.0% 35.0% 35.0% Table 1. 2021 Assumptions Build data table here: Cost of goods Revenue growth rate: sold Revenue 1.0% 70.0% 2.0% 71.0% 3.0% 72.0% 4.0% 73.0% 5.0% 74.0% 6.0% 75.0% 7.0% 76.0% 8.0% 77.0% 9.0% 78.0% 10.0% 79.0% 11.0% 80.0% 12.0% 81.0% 13.0% 82.0% 14.0% 83.0% 15.0% 84.0% 16.0% 85.0% 17.0% 86.0% 18.0% 87.0% 19.0% 88.0% 20.0% 89.0% 21.0% 90.0%

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Payroll Accounting 2016

Authors: Bernard J. Bieg, Judith Toland

26th edition

978-1305665910, 1305665910, 1337072648, 978-1337072649

More Books

Students also viewed these Accounting questions

Question

nvm, answer is complete

Answered: 1 week ago