Use the percent-of-sales method to prepare a pro forma income statement for the year ended December 31, 2021, for Harry Potter, Inc.: Harry Potter, Inc. estimates that its sales in 2017 will be Php4,500,000. Interest expense is to remain unchanged at Php105,000 and the firm plans to pay cash dividends of Php150,000 during 2021 Harry Potter, Inc.'s income statement for the year ended December 31, 2020 is shown below. From your preparation of the pro forma income statement, answer the following multiple choice questions. Income Statement Harry Potter, Inc. For the Year Ended December 31, 2020 Sales Revenue P4,200,000 Less: Cost of goods sold 3,570,000 Gross Profit P630,000 Less: Operating Expenses 210,000 Operating profits P420,000 Less: Interest Expense 105,000 Net profits before taxes P315,000 Less: Taxes 126,000 Net profits after taxes P189,000 Cash dividends paid amounting to 120,000