Accounting question: if a company is acquired another company at the end of 2021 for $1Billion, and is paying for this acquisition using $700Million in term loans and $200 Million in equity issuance, and $100 Million in a revolver draw (I'm assuming this would be like a line of credit), what figures on the income statement, balance sheet and cashflow statements would I need to adjust if i'm preparing 2022 pro forma statements? So what line items do i need to adjust any by how much? taking into account the new equity issuance and type of debt, as well as outstanding shares, everything that will be impacted. Please give a detailed response. Especially how i would adjust shareholders' equity

Fundamentals Of Financial Management, Concise Edition (mindtap Course List)
10th Edition
ISBN:9781337902571
Author:Eugene F. Brigham, Joel F. Houston
Publisher:Eugene F. Brigham, Joel F. Houston
Chapter3: Financial Statements, Cash Flow, And Taxes
Section: Chapter Questions
Problem 19SP
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Accounting question: if a company is acquired another company at the end of 2021 for $1Billion, and is paying for this acquisition using $700Million in term loans and $200 Million in equity issuance, and $100 Million in a revolver draw (I'm assuming this would be like a line of credit), what figures on the income statement, balance sheet and cashflow statements would I need to adjust if i'm preparing 2022 pro forma statements?

So what line items do i need to adjust any by how much? taking into account the new equity issuance and type of debt, as well as outstanding shares, everything that will be impacted.

Please give a detailed response. Especially how i would adjust shareholders' equity

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