The most recent financial statements for Hopington Tours Inc. follow. Sales for 2018 are projected to grow by 20%. 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. The firm is operating at full capacity and no new debt or equity is issued.

HOPINGTON TOURS INC.

2017 Statement of Comprehensive IncomeSales$759,000Costs594,000Other expenses15,000Earnings before interest and taxes$150,000Interest paid16,000Taxable income$134,000Taxes (30%)40,200Net income$93,800Dividends$28,140Addition to retained earnings65,660

HOPINGTON TOURS INC.

Statement of Financial Position as of December 31, 2017AssetsLiabilities and Owners' EquityCurrent assetsCurrent liabilitiesCash$26,900Accounts payable$69,600Accounts receivable42,300Notes payable18,600Inventory88,500Total$88,200Total$157,700Long-term debt$142,000Owners' equityFixed assetsCommon stock and paid-in surplus$128,000Net plant and equipment$363,000Retained earnings162,500Total$290,500Total assets$520,700Total liabilities and owners' equity$520,700

Complete the pro forma statement of comprehensive income below.(Input all amounts as positive values. Omit $ sign in your response.)

HOPINGTON TOURS INC.

Pro Forma Statement of Comprehensive Income20 % Sales

GrowthSales$CostsOther expensesEBIT$InterestTaxable income$Taxes (30%)Net income$Dividends$Add. to RE

Complete the pro forma statement of financial positionbelow.

HOPINGTON TOURS INC.

Pro Forma Statement of Financial PositionAssetsLiabilities and Owners' EquityCurrent assetsCurrent liabilitiesCash$Accounts payable$Accounts receivable$Notes payable$Inventory$Total$Total$Long-term debt$Owners' equityFixed assetsCommon stock and paid-in surplus$Net plant and equipment$Retained earnings$Total$Total assets$Total liabilities and owners' equity$

Calculate the EFN for 20% growth rates.

20%EFN$