Question: 1) Construct a sales forecast for Amazon for the upcoming year. Sales forecast is generally based on: 1. past trend in sales; and 2. the

1) Construct a sales forecast for Amazon for the upcoming year. Sales forecast is generally based on: 1. past trend in sales; and 2. the influence of any anticipated events that might materially affect that trend.

2) Prepare a pro-forma balance sheet for the upcoming year based upon the sales forecast from Part 1. Pro forma financial statements help forecast a firms asset requirements needed to support the forecast of revenues. The most common technique is percent of sales method that expresses expenses, assets, and liabilities for a future period as a percentage of sales.

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