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The Sweetwater Swatch Co. has the following statements from 2020: income Statement Sales 1,800,000 - COGS 756.000 Gross Profits 1,044,000 - Expenses 342.000 EBIT 702,000

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The Sweetwater Swatch Co. has the following statements from 2020: income Statement Sales 1,800,000 - COGS 756.000 Gross Profits 1,044,000 - Expenses 342.000 EBIT 702,000 - Interest 156,000 EBT 546,000 - Taxes 141.960 EAT 404,040 Balance Sheet 475,000 Current Assets 558,000 Current liabilities 2,100,000 L-T Debt 2.900.000 Fixed Assets 883.000 Total Assets 3,458,000 Equity Total Liabilities & Equity 3,458,000 The firm expects sales to increase by 11% in 2021. COGS should increase by 3% from their current percent of sales while expenses should decrease by 4% from their current percent of sales. Current assets are expected to increase by 8% from their current percent of sales while fixed assets should increase by $450,000. No sale of stock is expected. Interest is paid only on long-term debt, which is expected to rise by $250,000, and the interest rate will be 7.5%. Taxes will stay at their same tax rate. No dividends are paid and any shortfalls should be made up in current liabilities. Prepare a 2021 pro forma income statement and balance sheet, in good accounting order and properly labeled

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