Purchase Solution

# Percentage Sales Method to Forecast Consolidated Statement of Operations

Not what you're looking for?

Consider Apple's Consolidated Statement of Operations for the year ended September 25, 1999 as shown in the attachment and answer the following problem:

Use the Percentage Sales Method and a 20% increase in sales to forecast Apples' Consolidated Statement of Operations for the period September 26, 1999 through September 25, 2000. Assume a 15% tax rate.

##### Solution Preview

This question is worded a bit awkwardly, so I'm not surprised that you're confused. But really, it's not too complicated.
<br><br>
<br><br>You're given a set of numbers for Sept 26, 1998 to Sept 25, 1999, and are asked, based on these to figure out what they will be for the next year, given only the information that sales will increase by 20% and the tax rate stays the same.
<br><br>
<br><br>How do you figure this out? Percentage of sales. Basically, if your sales increase by 20%, your expenses will increase proportionally. So you need to figure out what the proportions are.
<br><br>
<br><br>I'm not going to do it for you, but here's what it will look like in the end.
<br><br>
<br><br>...............................................1999.......% of ...

##### Free BrainMass Quizzes

This quiz will test your understanding of how to write good business plans, the usual components of a good plan, purposes, terms, and writing style tips.

##### Change and Resistance within Organizations

This quiz intended to help students understand change and resistance in organizations

##### Basic Social Media Concepts

The quiz will test your knowledge on basic social media concepts.

##### IPOs

This Quiz is compiled of questions that pertain to IPOs (Initial Public Offerings)

##### Production and cost theory

Understanding production and cost phenomena will permit firms to make wise decisions concerning output volume.