Spalding Company has offered to sell to Ping Company its assets at their book values plus

representing payment for goodwill. Operating data for $2023$ for the two companies are as follows: Ping Company's management estimates the following operating changes if Spalding Company is merged with Ping Company through a purchase: A$.$ After the merger, the sales volume of Ping Company will be

in excess of the present combined sales volume, and the sale price per unit will be decreased by

$.$ B$.$ Fixed manufacturing expenses have been

of cost of goods sold for each company. After the merger the fixed manufacturing expenses of Ping Company will be increased by

of the current fixed manufacturing expenses of Spalding Company. The current variable manufacturing expenses of Ping Company, which is

of cost of goods sold, is expected to increase in proportion to the increase in sales volume. C$.$ Selling expenses of Ping Company are expected to be

of the present combined selling expenses of the two companies. D$.$ Other expenses of Ping Company are expected to increase by

as a result of the merger. Any excess of the estimated net income of the merged company over the combined present net income of the two companies is to be capitalized at

$.$ If this amount exceeds the price set by Spalding Company for goodwill, Ping Company will accept the offer. Required: Prepare a pro forma $($or projected$)$ income statement for Ping Company for $2024$ assuming