FORECASTING--IN CLASS ASSIGNMENT (1) 1 2 3 4 REVENUES 3,000 3, 150 3,308 COGS 1,800 1,860 1,923 GROSS PROFIT 1,200 1,290 1,385 SG&A 700 720 740 DEPRECIATION 140 140 140 OPERATING INCOME 360 430 505 EBITDA 500 570 645 DEBT 2,200 2,200 2,200 Notes: (1) COGS was 67% variable in year 1 (2) Revenue increase was soley due to volume Project revenues, COGS, SG&A and EBITDA in year 4. Calculate Debt/EBITDA and interest coverage in year 4