Pro Forma Income Statement for Company
Not what you're looking for?
Prepare a pro forma income statement for Hi-Tech Manufacturing Company using the following information:
1. Projected sales of $2,025,000 based on 1,000 units
2. Cost of goods sold: $1,200 variable cost per unit and $135,000 of fixed costs
3. Selling and administrative expenses: $20,000 per month
4. Depreciation: $10,000 per month from January through April and $12,000 per month from May through December
5. Interest expense: $40,000
6. Tax rate: 46 percent
Purchase this Solution
Solution Summary
This solution calculates the pro forma income statement based on given information regarding sales, cost of goods sold, selling and administrative expenses, depreciation, interest expense, and the tax rate.
Solution Preview
Sales = $2,025,000.
Cost of goods sold = 1,000 * $1,200 + $135,000 = $1,335,000
Gross profit = Sales - Cost of goods sold = $2,025,000 - ...
Purchase this Solution
Free BrainMass Quizzes
IPOs
This Quiz is compiled of questions that pertain to IPOs (Initial Public Offerings)
Paradigms and Frameworks of Management Research
This quiz evaluates your understanding of the paradigm-based and epistimological frameworks of research. It is intended for advanced students.
Operations Management
This quiz tests a student's knowledge about Operations Management
Marketing Management Philosophies Quiz
A test on how well a student understands the basic assumptions of marketers on buyers that will form a basis of their marketing strategies.
Six Sigma for Process Improvement
A high level understanding of Six Sigma and what it is all about. This just gives you a glimpse of Six Sigma which entails more in-depth knowledge of processes and techniques.