Chris Anderson, Sheffield & Daniel's controller, has received all the budgets prepared by the various operating units and is ready

compile the pro$-$forma financial statements for the first quarter. The company's balance sheet as of December $31$ is as follows:

Additional Information:

Sheffield & Daniel plans to purchase and pay cash for a piece of land in February at a cost of $$90,000.$

Sheffield & Daniel plans to purchase equipment in March at a cost of $$30,000.$

Depreciation for manufacturing overhead $$42,000$ per quarter and for selling and administrative $$30,000$ per month.

The company expects a $30\%$ income tax rate, and all quarterly taxes are paid in the first month of the following quarter.

$($a$)$

Your answer is correct.

Prepare Sheffield & Daniel's pro$-$forma income statement for the first quarter. $($Enter negative amounts using either a negative sign

preceding the number e$.$g$.-45$ or parentheses e$.$g$.(45).)$

Sheffield& Hill

Income Statement

First Quarter

Cost of Goods Sold

Gross Margin

Selling & Administrative Expense

Net Income $/($Loss$)$

$

eTextbook and Media

$($b$)$

Prepare Sheffield & Daniel's pro$-$forma balance sheet as of March $31.$

Sheffield& Hill

Balance Sheet

March $31$

Prepare Sheffield & Daniel's pro$-$forma balance sheet as of March