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Adapted from Problem 2 Advanced Problems for Spreadsheet Application, Pro forma income statements for Green Discuss the percentage growth in net income you calculated from 2017 to 2018 . 3 What factors influenced the growth in net income? Discuss the change in the percentage growth in net income from 2018 to 2019. 4 What has changed? Creating a Pro forma income statement Adapted from Advanced Problems for Spreadsheet Application, Financial Management Core Concepts, Brooks 4rd Edition, Problem 2 Green Planet, a restaurant supply company has given you the following financial data for 2017: The tax rate in 2017 was 38%. Due to changes in the tax laws, the future tax rate is expected to be 21%. 1. Construct Green Planet's pro forma income statements for 2018, 2019 and 2020 given the following assumptions: - Projected sales will rise annually at 4.5% - The line item titled "Fixed costs" will remain the same in 2018, then rise annually by 1% in 2019 and 2020. - Depreciation is estimated to remain the same as the 2017 expense for all 2018-2020. - All other accounts listed (except tax) will be at the same percentage of sales for the next three years as they were in 2017. - Use formulas where appropriate (not using formulas will result in a loss of credit). 2. Calculate the percentage growth in net income for each year. 3. Discuss the percentage growth in net income you calculated from 2017 to 2018 . What factors influenced the growth in net income? 4. Discuss the change in the percentage growth in net income from 2018 to 2019 . What has changed

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