Lily Craft, Inc., is a manufacturer of electric pencil sharpeners. The following is information regarding Lily Craft for the fiscal year-end, May 31, 2010:

Assume a tax rate of 25%. Prepare a pro-forma income statement for the year ended May 31, 2010, for Lily Craft. (Note that Lily Craft does not have work-in-processinventory.)

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Beginning fnished goods inventory Ending finished goods inventory Interest expense. Selling and administrative expenses. Sales revenue 50,000 Direct materials used 29,000 Direct labor 75,000 Manufacturing overhead $445,000 62,000 25,000