Details of this Paper

Kaplan Mt482 week 8 assignment

Description

solution


Question

Question;CASE 9?1: Forecasting Pro Forma;Financial Statements;Refer to the following financial statements forKodak;Analysis;INCOME STATEMENT;For Year Ended December 31 (in;millions);20x6 20x5 20x4;Net sales..........................................................................................;$13,234 $13,994 $14,089;Cost of goods;sold............................................................................;8,670 8,375 8,086;Gross;profit.................................................................................. 4,564 5,619 6,003;Selling, general, and;administrative expenses................................. 2,781 2,665 2,846;Research and development;costs..................................................... 779 784 817;Restructuring costs (credits);and other............................................ 659 (44) 350;Earnings from operations............................................................ 345 2,214 1,990;Interest expense............................................................................... 219 178 142;Other income (charges)..................................................................... (18) 96 261;Earnings before income taxes.......................................................... 108 2,132 2,109;Provision for income;taxes................................................................ 32 725 717;Net earnings................................................................................ $ 76 $ 1,407 $ 1,392;Prepare forecasts of its income;statement, balance sheet, and statement of cash flows for 20x7 under the;following assumptions;?;a. All financial;ratios remain at 20x6 levels.;?;b. Kodak will;not record restructuring costs for 20x7.;?;c. Taxes payable;are at the 20x6 level of $544 million.;?;d. Depreciation;expense charged to SG&A is $765 million and $738 million for 20x6 and 20x5;respectively.;?;e. Gross PPE is;$12,982 million and $12,963 million for 20x6 and 20x5, respectively.;?;f. Projected;current maturities of long-term debt are $13 million for 20x7.;Top of Form

 

Paper#49016 | Written in 18-Jul-2015

Price : $23
SiteLock