Question
The table below indicates historical information for a company's previous fiscal years. Using this data, calculate the totals for the 24-month projections. Explain how you
The table below indicates historical information for a company's previous fiscal years. Using this data, calculate the totals for the 24-month projections. Explain how you were able to calculate appropriate assumptions with only the below information
|
| 2021 Fiscal Year | 2022 Fiscal Year | 24-Month Projections |
| Sales | $ 76118 | $80,187 | $ |
| Cost of goods sold | $ 37,108 | $ 42,157 | $ |
| Gross profit | $ 39,144 | $ 38,212 | $ |
| Selling expenses | $ 18948 | $ 18,150 | $ |
| Administrative expenses | $ 21,024 | $ 20,217 | $ |
| Total operating expense | $ 58,664 | $ 62,378 | $ |
| Income from operations | $ 17,986 | $ 17,813 | $ |
| Other income | $ 86 | $ 570 | $ |
| Income before tax and interest | $ 17,615 | $ 17,995 | $ |
| Other expense (interest) | $ (502) | $ (439) | $ |
| Income before income tax | $17,615 | $ 17,995 | $ |
| Income tax expense | $ 3,263 | $ 3,202 | $ |
| Net income | $ 14,352 | $ 14,793 | $ |
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Auditing The Art and Science of Assurance Engagements
Authors: Alvin A. Arens, Randal J. Elder, Mark S. Beasley, Ingrid B. Splettstoesser
12th Canadian edition
978-0133098235
