Young Company's condensed income statement for the fiscal year 2020 follows: Revenue $10,460 Cost of Goods Sold 5,420 Gross Profit 5,040 Selling, General & Admin.
Young Company's condensed income statement for the fiscal year 2020 follows:
Revenue $10,460
Cost of Goods Sold 5,420
Gross Profit 5,040
Selling, General & Admin. Expenses (SG&A) 2,140
Other Expenses (Income) 1,090
Net Income before Taxes 1,810
For 2021, an analyst is forecasting revenue of $12,000. If there are no changes to Young's business model, what would the logical forecast for SG&A expenses be for 2021?
| A. | $2,140 | |
| B. | $2,629 | |
| C. | $2,455 | |
| D. | $2,660 |
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Authors: Thomas Beechy, Umashanker Trivedi, Kenneth MacAulay
6th edition
013703038X, 978-0137030385
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