Pls show ur solutions pls At the end of last year, Roberts Inc. reported the followingincome statement (in millions of dollars):Sales3,000,000 3,300,000Operating costs excluding depreciation 2,450,000 2,640,000550,000 660,000EBITDADepreciation250,000 275,000ЕBIT300,000 385,000Interest125,000 125,000EBT175,000 260,000Taxes (40%)70,000 104,000Net income105,000 156,000Looking ahead to the following year, the company's CFOhas assembled this information:• Year-end sales are expected to be 10% higher than the$3 million in sales generated last• Year-end operating costs, excluding depreciation, areexpected to equal 80% of yearend sales.• Depreciation is expected to increase at the same rate asyear.sales.• Interest costs are expected to remain unchanged.• The tax rate is expected to remain at 40%.4. What is the entity's projected net income?a. 564,000b. 171,000с. 105,000d. 156,0005. What is the entity's projected earnings before interest andtaxes (EBIT)а. 660,000b. 550,000с. 300,000d. 385,000

We need to create the projected income statement.

Answered: 4. What is the entity's projected net…

4. What is the entity's projected net income?a. 564,000 b. 171,000 с. 105,000 d. 156,000 5. What is the entity's projected earnings before interest and taxes (EBIT) a. 660,000 b. 550,000 с. 300,000

Financial Accounting Intro Concepts Meth/Uses

14th Edition

ISBN:9781285595047

Author:Weil

Publisher:Weil

Chapter6: Statement Of Cash Flows

Section: Chapter Questions

Problem 25E

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