Preparing a pro forma income statement


Question 1. To buy a new house you take out a 25 year mortgage for $300,000. What will your monthly interest rate payments be if the interest rate on your mortgage is 8 percent?

rate (i) =
number of periods (n)=
present value (PV)    =$300,000
future value (FV) =$0
type (0 = at end of period)    =0
monthly mortgage payment=

Question 2. Prepare a Pro Forma Income Statement

Net Sales =$2,938 COGS=$1,598 SG&A=$475 Depreciation=45 Interest Exp=$32 Tax=15%

Show in Excel the following:

Net Sales
Cost Of Goods Sold
Gross Profit
Selling & Admin Exp
Depreciation
Interest Exp
Income Before Taxes
Income Taxes
Net Profit

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Finance Basics: Preparing a pro forma income statement
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