FIN 419 ASSIST Perfect Education/fin419assist.cofi FIN 419 ASSIST Perfect Education/fin419assist.cofi | Page 53

Sales Revenue
$35,500,000
Cost of Goods Sold
12,725,000
Selling, General & Admin Exp
11,200,000
Depreciation Expense
3,200,000
EBIT
8,375,000
Interest Expense
350,000
Taxable Income
8,025,000
Taxes 3,210,000
Net Income 4,815,000
Transfer this income statement to an Excel spreadsheet and begin to
prepare a Pro Forma Income statement for 2016 based on the
following information:
1. Sales revenue to increase 5.2%, COGS to increase 4.5%,
S,G&A will increase 3.8% and depreciation expense will be