Question
Tarkbucks Inc. provides the following financial information for the most recent two years (2020 and 2021) and forecast net sales for year 2022. 2020 2021
Tarkbucks Inc. provides the following financial information for the most recent two years (2020 and 2021) and forecast net sales for year 2022.
| 2020 | 2021 | 2022 | |
| ($ in millions) | Actual | Actual | Forecast |
| Net sales | $30,557.0 | $33,905.0 | $38,700.0 |
| Capital expenditures | $1,134.0 | $1,211.0 | ? |
| Depreciation expense | $1,310.4 | $1,453.4 | ? |
| Property, plant, and equipment, gross | $10,920.0 | $12,112.0 | ? |
| Accumulated depreciation | $7,182.5 | $8,635.9 | ? |
Use the information above to answer the following questions. Assume no property, plant, or equipment is sold or retired during years 2020, 2021, or 2022.
| a. | What is the forecasted amount of capital expenditures for year 2022? | |
| b. | What is the forecasted amount of depreciation expense for year 2022? | |
| c. | What is the forecasted amount of property, plant, and equipment, net for year 2022? |
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Sound Investing, Chapter 23 - Internal Control
Authors: Kate Mooney
1st Edition
0071719458, 9780071719452
