How to calculate cost of good sold and Selling and G&A Expenses for Pro Forma Income Statement
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How to calculate cost of good sold and Selling and G&A Expenses for Pro Forma Income Statement
2020 | 2019 | 2018 | |
Sales | $4,407,500 | $3,946,250 | $3,517,800 |
Cost of Goods Sold | $3,331,250 | $2,935,600 | |
Gross Profit | $615,000 | $582,200 | |
Selling and G&A Expenses | $330,300 | $240,000 |
Given:
Central Perks Inc. | |||
Income Statement | |||
For the Year Ended Dec. 31, 2019 | |||
2019 | 2018 | ||
Sales | $ 3,946,250 | $ 3,517,800 | |
Cost of Goods Sold | $ 3,331,250 | $ 2,935,600 | |
Gross Profit | $ 615,000 | $ 582,200 | |
Selling and G&A Expenses | $ 330,300 | $ 240,000 | |
Fixed Expenses | $ 100,000 | $ 100,000 | |
Depreciation Expense | $ 20,000 | $ 18,900 | |
EBIT | $ 164,700 | $ 223,300 | |
Interest Expense | $ 76,000 | $ 62,500 | |
Earnings Before Taxes | $ 88,700 | $ 160,800 | |
Taxes | $ 35,480 | $ 64,320 | |
Net Income | $ 53,220 | $ 96,480 | |
Notes: | |||
Tax Rate | 40% | ||
Sales history | Revenue | COGS | Forecast |
2015 | $ 1,937,795 | $ 1,609,455 | |
2016 | $ 2,150,952 | $ 1,738,086 | |
2017 | $ 2,409,066 | $ 2,042,210 | |
2018 | $ 3,517,800 | $ 2,935,600 | |
2019 | $ 3,946,250 | $ 3,331,250 | |
2020 | $ 4,407,500 |
Related Book For
Fundamental Managerial Accounting Concepts
ISBN: 978-0078110894
6th Edition
Authors: Edmonds, Tsay, olds
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