Utilizing the fictitious company Tag-It Corporation, prepare next year's forecast with a pro forma income statement. Here is the current income statement for Tag-It:

Additionally, Tag-It's CEO has predicted a 12% increase in total revenue next year. Utilizing the percentage of sales method, prepare a forecast for next year in the correct section on the Excel spreadsheet.

1. The total revenue numbers over the past 4 years for Tag-It Corporation were as follows (values in millions):
   • 73,785
   • 69,495
   • 75,356
   • 71,879
2. Determine whether you think Tag-It can hit the target of a 12% increase in sales next year.