80.2K

Verified Solution

Link Copied!

Jacob Long, the controller of Arvada Corporation, is trying to prepare a sales budget for the coming year. The income statements for the last four quarters follow. Historically, cost of goods sold is about 60 percent of sales revenue selling and administrative expenses are about 10 petcent of sales revenue: Fied Arvoda, the chief executive offices, told Mr Long that he expected sales next year to be 15 percent for each respective quarter above last year's level. However, Rita Banks, the vice president of sales, told Mr. Long that she believed sales growth would be only 10 percent: Requilied a. Prepare a pro forma incorrie statement including quarterly budgets for the coming year using Mc Arvoda's estimate. b. Prepare a pro forma income statement including quarterly budgets for the coming year using Ms. Bankf' estimate. Complete this question by entering your answers in the tabs below. Prepare a pro forma income statement induding quarterly budpets for the coming year using Mr. Arvada's estimate. . Prepare a pro forma income statement including quarterly budgets for the coming year using Mr. Arvada's estimate . Prepare a pro forma income statement including quarterly budgets for the coming year using Ms. Banks' estimate. Complete this question by entering your answers in the tabs below. Prepare a pro forma income statement including quarterly budgets for the coming year using Mr. Arvada's estimate. Prepare a pro forma income statement including quarterly budgets for the coming year using Mr. Arvada's estimate. . Prepare a pro forma income statement including quarterfy budgets for the coming year using Ms. Banks' estimate. Complete this question by entering your answers in the tabs below. Prepare a pro forma income statement including quarterly budgets for the coming year using Ms. Banks' estimate

Answer & Explanation Solved by verified expert

See Answer