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Question 5 0 of 5 0 Among the items in the financial statements for 2 0 X 1 , Kadan Company reported the information below.

Question 50 of 50
Among the items in the financial statements for 20X1, Kadan Company reported the
information below. (This is not a complete list of all of the financial statement items.)
Accounts receivable $200
Inventory $400
Property, plant, and equipment $1,000
Accounts payable $100
Long-term loans payable $800
Sales $10,000
Cost of goods sold $7,500
Depreciation expense $250
Interest expense $60
In 20X2, sales are expected to increase from $10,000 to $13,000. On January 1,
202, Kadan plans to purchase new property, plant, and equipment, increasing the
balance from $1,000 to $1,500. Also on January 1,202, Kadan plans to obtain new
long-term loans, increasing the loan balance from $800 to $1,600. What is a
reasonable forecast of the amount of interest expense in 202?
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