The most recent financial statements for Crosby, Incorporated, follow. Interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. Costs, other expenses, current assets, fixed assets, and accounts payable increase spontaneously with sales. Assume the firm is operating at full capacity and the debt- equity ratio is held constant. Sales CROSBY, INCORPORATED 2020 Income Statement $ 758,000 614,000 Costs Other expenses 26,500 Earnings before interest and $117,500 taxes Interest paid 12,000 $ Taxable income 105,500 Taxes (25%) 26,375 Net income $ 79,125 Dividends Addition to retained earnings $40,140 38,985 CROSBY, INCORPORATED) Balance Sheet as of December 31, 2020 Assets Liabilities and Owners' Equity Current assets Cash Accounts receivable Current liabilities $24,740 Accounts payable 34,110 Notes payable Inventory 70,970 Total Total $129.820 Long-term debt Owners' equity Fixed assets surplus Net plant and equipment $ 215,000 Common stock and paid-in Retained earnings $ 59,400 16,100 $ 75,500 $106,000 $101,000 62,320 Taxes (25% Net income Dividends 26.375 $79,125 $40140 Addition to retained earnings 38.985 CROSBY, INCORPORATED Balance Sheet as of December 31, 2020 Assets Liabilities and Owners' Equity Current assets Current liabilities Cash Accounts receivable $24,740 34.110 Accounts payable $59,400 Notes payable 16300 Inventory 70,970 Total $75.500 Total $129,820 Long-term debt $106,000 Owners' equity Common stock and paid-in Foxed assets $101,000 surplus Net plant and equipment $215,000 Retained earnings 62.320 Total $163.320 Total assets $344,820 Total liabilities and owners' equity $344,820 Complete the pro forma income statements below. (Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.) Pro Forma Income Statement Sares Co Or expenses EBIT 10% Sales Growth 15% Sales Growth 1 833,000 675,400 29.100 871,700 $ 706,100 30,475 40% Sales Growth 1,061,200 859,000 37,100 Total $163,320 Total assets $344,820 Total liabilities and owners' equity $344,820 Complete the pro forma income statements below. (Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.) Pro Forma Income Statement 10% Sales Growth 15% Sales Growth 40% Sales Growth Sales $ 833,800 $ 871,700 $ 1,061,200 Costs 675,400 706,100 859,600 Other expenses 29,150 30,475 37,100 EBIT $ 129,250 $ 135,125 $ 164,500 Interest paid 12,000 12,000 12,000 Taxable income $ 117,250 $ 123,125 $ 152,500 Taxes (25%) 29,313 30,781 38,125 Net income $ 87.938 $ 92,344 $ 114,375 Dividends S Add to RE 44,611 $ 43,327 46,846 $ 58,022 45,498 56,353 Calculate the EFN for 10, 15 and 40 percent growth rates. (A negative answer should be Indicated by a minus sign. Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.) EFN 10% 15% 40%