Consider the following income statement for the Heir Jordan Corporation: HEIR JORDAN CORPORATION Income Statement Sales $ 43,200 Costs 34,000 Taxable income $ 9,200 Taxes (24%) 2,208 Net income $ 6,992 Dividends $ 2,700 Addition...

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Finance

Consider the following income statement for the Heir JordanCorporation:
HEIR JORDAN CORPORATION
Income Statement
  Sales $ 43,200
  Costs 34,000
  Taxable income $ 9,200
  Taxes (24%) 2,208
  Net income $ 6,992
     Dividends $ 2,700
     Addition to retainedearnings 4,292
The projected sales growth rate is 13 percent.
Prepare a pro forma income statement assuming costs vary withsales and the dividend payout ratio is constant. (Input allanswers as positive values. Do not round intermediatecalculations.)
What is the projected addition to retained earnings? (Donot round intermediate calculations.)

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Consider the following income statement for the Heir JordanCorporation:HEIR JORDAN CORPORATIONIncome Statement Sales$43,200 Costs34,000 Taxable income$9,200 Taxes (24%)2,208 Net income$6,992 Dividends$2,700 Addition to retainedearnings4,292The projected sales growth rate is 13 percent.Prepare a pro forma income statement assuming costs vary withsales and the dividend payout ratio is constant. (Input allanswers as positive values. Do not round intermediatecalculations.)What is the projected addition to retained earnings? (Donot round intermediate calculations.)

HEIR JORDAN CORPORATION Income Statement
Sales			$	43,200
Costs				34,000

Taxable income			$	9,200
Taxes (24%)				2,208

Net income			$	6,992

Dividends	$	2,700
Addition to retainedearnings		4,292