Problem Income Statement LG
You have been given the following information for PattyCake's Athletic Wear Corporation for the year:
a Net sales $
b Cost of goods sold $
c Other operating expenses $
d Addition to retained earnings $
e Dividends paid to preferred and common stockholders $
f Interest expense $
g The firm's tax rate is percent.
Next year:
h Net sales are expected to increase by $ million.
i Cost of goods sold is expected to be percent of net sales.
j Depreciation and other operating expenses are expected to be the same as in the last year.
k Interest expense is expected to be $
I. The tax rate is expected to be percent of EBT.
Dividends paid to preferred and common stockholders will not change.
Calculate the addition to retained earnings expected next year.
Note: Enter your answers in millions of dollars. ie Enter as
Answer is complete but not entirely correct.
