The most recent financial statements for Crosby, Inc., follow. Sales for 2018 are projected to grow by 25 percent. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, and accounts payable increase spontaneously with sales. CROSBY, INC. 2017 Income Statement Sales $ 757,000 Costs 592.000 Other expenses 28,000 Earnings before interest and taxes Interest paid $ 137,000 24,000 Taxable income Taxes (24%) $ 113,000 27,120 Net income $ 85,880 Dividends Addition to retained earnings $26,623 59,257 CROSBY, INC. Balance Sheet as of December 31, 2017 Assets Liabilities and Owners' Equity Current assets Current liabilities Cash $ 21,640 Accounts payable $ 55,800 Accounts receivable 44,580Notes payable 15,000 Inventory 101,960 Total $ 70,800 Total $ 168,180 Long-term debt $ 140,000 Fixed assets Net plant and equipment $433,000 Owners' equity Common stock and pald-in $119.500 surplus Retained earnings 270,880 Total $390,380 Total assets C4100 Total liabilities and owners equity $ 601,180 In 2017, the firm operated at 80 percent of capacity. Construct the pro forma income statement and balance sheet for the company. Assume that fixed assets are sold so that the company has a 100 percent asset utilization. (Do not round intermediate calculations.)