13. MasterTech is a new software company that develops and markets productivity software for municipal government applications. In developing their income statement, the following formulas are used:

Gross profit = Net sales - Cost of sales Net operating profit = Gross profit - Administrative expenses - Selling expenses Net income before taxes = Net operating profit -
Interest expense Net income = Net income before taxes -
Taxes Net sales are expected to be $900,000. Cost of sales is estimated to be $540,000. Selling expenses has a fixed component that is estimated to be $90,000, and a variable component that is estimated to be 7% of net sales.
Administrative expenses are $50,000. Interest expenses are $10,000. The company is taxed at a 50% rate. Develop a spreadsheet model to calculate the net income. Design your spreadsheet using good spreadsheet engineering principles.