The Income statement and balance sheet for Central Perks Inc. are provided here. Note that firm's capital expenditures are expected to rise by $$50,000$ in the new year. This will lead to an increase of $$5,000$ in depreciation expense from $2019.$ Sales next year should be $$4,407,500,$ and the dividend payment to common stockholders will equal the dividend payment in $2019.$ Cost of Goods Sold, S$,$G&A Expense, Interest Expense, Accounts Receivable, Inventory, Accounts Payable, and Other Current Liabilities will vary with sales. Cash, Notes Payable, Long$-$Term Debt, and Common Stock will remain the same as in $2019.$

$1.$ Using the information given and percentage of sales analysis techniques where appropriate, prepare a pro forma income statement and balance sheet for the next year. Since both $2018$ and $2019$ financial statements are given, use the average percentage of sales from both years. Calculate the amount of financing needed for the balance sheet.

$2.$ Create a chart of sales by year for all years, including your pro forma estimate.

$3.$ Add a trend line.

$4.$ Create a scatter plot of sales vs$.$ cogs. Add a trend line.

$5.$ Regress cogs against sales $($do not include the $2010$ estimates$).$

$6.$ Using your sales trendline and annual sales data forecast the sales level in the next $3$ years $(3$ years after the year with $4\mathrm{.}3$M in sales$).$ Forecast using the trend line as well as at least one of the followCentral Perks Inc.

Balance Sheet

As of Dec. $31,2019$

Assets $20192018$

Cash and Equivalents $$53,300$ $$59,040$

Accounts Receivable $$412,050$ $$359,980$

Inventory $$856,900$ $$733,080$

Total Current Assets $$1,322,250$ $$1,152,100$

Plant & Equipment $$540,175$ $$503,275$

Accumulated Depreciation $$166,200$ $$146,200$

Net Fixed Assets $$373,975$ $$357,075$

Total Assets $$1,696,225$ $$1,509,175$

Liabilities and Owner's Equity

Accounts Payable $$179,580$ $$149,240$

Short$-$term Notes Payable $$230,625$ $$205,000$

Other Current Liabilities $$143,500$ $$139,400$

Total Current Liabilities $$553,705$ $$493,640$

Long$-$term Debt $$435,227$ $$331,518$

Total Liabilities $$988,932$ $$825,158$

Common Stock $$471,500$ $$471,500$

Retained Earnings $$231,638$ $$208,862$

Total Shareholder's Equity $$703,138$ $$680,362$

Total Liabilities and Owner's Equity $$1,692,070$ $$1,505,520$ing: trend, linest, regression.