Question: iin this assignment you will create a forecast for a fictitious company using the attached spreadsheet template. Input the following as assumptions in the assumption
iin this assignment you will create a forecast for a fictitious company using the attached spreadsheet template. Input the following as assumptions in the assumption part of the spreadsheet grey highlighted cells at the top of the spreadsheet and then reference those cells when projecting the appropriate income statement, balance sheet, or breakeven account. Do NOT hard code numbers into your projections. Project Income Statement and Balance Sheet.Assumptions: Sales growth rates in each of next years: Operating expenses as percentage of sales stays at level for then goes down by in each of next two years so if was in forecast levels would be Cost of goods sold as of sales stays at level for and then improves by in and by another in remember this is an expense, so improves means it goes down tax rate No dividends or new stock issued Interest expense fixed at $ year Bank loan and LT debt stay constant AR days year days, then decrease by days in & another days in Inventory days year days then decrease by days in & another days AP days stays at year days Net fixed assets and accruals: Use of sales for Required cash fixed at Calculate Additional Funds Needed as plug to get Balance Sheet to balance! Calculate breakeven revenues and units.Assumptions: Use line item operating expenses as fixed costs Average price per unit is $
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