I don't understand this. Please thoroughly explain. Carry all calculations to two decimal places to reduce rounding error, especially in multi$-$step problems.

P$4-22$ Integrative: Pro forma statements Provincial tmports Inc. has assembled last year's financial statements $($income statement and balance sheet below$)$ and financial projections for use in preparing financial plans for the coming year.

Provincial Imports Inc. Income Statement for the Year Just Ended

$\backslash$table$[[$Sales revenue,$$5,000,000$