None Pro-FormaAssumptions2008 Sales GrowthCOGS % of Sales40%55%Increase in Wages$300,000Increase in Rent Expense20%Marketing & Advertising % of Sales3.5%Inventory Days for90Loan for Patio$1,060,000Interest Rate on Loan for PatioInterest Rate for All Other LoansTax RateOther IncomeDay Sales OutstandingMinimum Cash % of Sales9%16%23%$01.30.40%Pro-Forma Income StatementNet salesCost of goods sold$ 12,127,828$ 6,670,305Gross profit$ 5,457,522Operating expenses:Administrative expenses$343,454Amortization$ 324,946Insurance$61,032Marketing & advertising$424,474Miscellaneous$264,009Rent$623,887Repairs & maintenance$417,819Security$ 193,281Supplies & expenses$247,142Telephone$199,752Travel & entertainment$92,252Utilities$74,214Vehicle expenses$86,834Wages$ 1,221,768Total operating expenses$ 4,574,862Operating income$ 882,660$Other incomeInterest expense$ 612,751.68Net income (loss)$269,908Interest expense $ 612.751.68 Netincome (loss) 269,908Additional comments: How do youcalculate interest expense?

referencesGiri, A. K., & Subedi, D. (2023). Increases in US Farm Debt and Interest Expenses…

Answered: Pro-Forma Assumptions 2008 Sales Growth…

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter5: Sales And Receivables

Section: Chapter Questions

Problem 57BE

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A ezto.mheducation.com Saved Help Save & Exit Submit Chapter 20 - Problems 4 Codiac Corp. currently has an all-cash credit policy. It is considering making a change in the credit policy by going to terms of net 30 days. The required return is 0.85% per month. Price per unit Cost per unit Unit sales per month Current Policy $ 220 $ 164 1,590 New Policy 225 169 $ 1,640 Calculate the NPV of the decision to change credit policies. (Negative answer should be indicated by a minus sign. Do not round intermediate calculations. Round the final answer to 2 decimal places. Omit $ sign in your response.) NPV 4 of 5 Next < Prev Mc Graw Hill
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View Policies Current Attempt in Progress A company has the following balances: Sales revenue $312.000: Sales Returns and Allowances $2.000: Sales Discounts $4,000: Cost of Goods Sold $184,000: Operating Expenses $84,000. Assume there are no other revenues, other expenses, or income tax expense. How much is the profit margin? O 16.0% O 12.2% O 12.4% O 41.0 % eTextbook and Media Hint 4 ! Save for Later Using multiple attempts will impact your score 10% soore reduction after attempt 1 Attempts; unlimited Submit Answer
1. Year one income statement by months ( sales by year 3 $2.7m 2.7 m /3 = $900,000 average each year sales 900,000 / 12 = $75,000 sales each month Revenues: Net sales $75,000 each month Expenses and loses Costs of goods sold 1,786 x $15.60 = $27,863.78 Capital expenses $1,150 / 12= $95.83 Location expenses $76,415/ 12 = $6,367.92 Advertising / Promotional expenses $78,285/ 12 = $6,523.75 CalculateTotal expenses Depreciation expense is straight line for this project ?. Use the market value of the asset divided by monthly expected life of the asset, We will not use salvage value in calculating depreciation expense.
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