Hello! I need help on how to do this. Thank you! **Pro Forma Income Statement Preparation for a Hotel Operation**This guide details the preparation of a pro forma income statement for a hotel operation consisting of a 100-room facility and a 100-seat restaurant. The pro forma income statement should be developed for each department as well as a consolidated statement for the entire hotel for the forthcoming year. Below are the specifics for each department:### Rooms Department:- **2019 Statistics:** - Occupancy Rate: 70% - Average Room Rate: $50- **Forecast for 2020:** - Expected Increase in Occupancy Rate: 10% - Expected Increase in Average Room Rate: $10- **Cost Analysis:** - Cost of Sales per Room Occupied: $10 - Fixed Operating Expenses: $350,000 annually- **Operational Days:** - The hotel operates 365 days a year.### Restaurant Department:- **2019 Statistics:** - Average Check: $20 - Average Seat Turnover: 2.50- **Forecast for 2020:** - Expected Increase in Average Check: $5 - Expected Decrease in Seat Turnover: 0.50- **Cost Structure:** - Costs of Food and Beverage: 30% of revenue - Other Variable Operating Expenses: 20% of revenue - Fixed Operating Expenses: $250,000 annually- **Operational Days:** - The restaurant operates 300 days a year.### Company-Wide Undistributed Expenses & Fixed Charges:- **2019 Expenses:** - Indirect Operating Expenses: $300,000 - Fixed Charges: $400,000- **Forecast for 2020:** - Expected Increase in Indirect Costs: 2.5% - No change is anticipated for fixed charges.- **Tax Consideration:** - The tax rate is expected to be 20%.This framework should guide the development of the detailed pro forma income statement, ensuring that all variables and forecasts are accounted for to provide a comprehensive view of the expected financial performance for the year. c. Prepare the consolidated pro-forma income statement of the hotel operation (combining rooms and restaurant).

The question is related to Consolidated pro forma Income Statement of the hotel operation (combined room and restaurant) for the next year.i.e. 2020. The details are given.Pro forma Income Statement of the hotel operation (combined room and restaurant) for the next year.i.e. 2020 Particulars Room Department Revenue (100 rooms × $60 × 80% × 365) = $1752000 Less:- Cost of sales/room = ($292000) (100 × 365 × 80% × $10) Contribution = $1460000 Less:- Fixed Operating Expenses =($350000) Net Income = $1110000 Particulars Restaurant Department Revenue (100 seat × $25 × 2 × 300) = $1500000 Less:- Cost of food and beverages = ($450000) (30 % × $1500000) Other Variable operating Expenses =($300000) (20% × $1500000) Contribution = $750000 Less:- Fixed Operating Expenses =($250000) Net Income = $500000 Consolidated Net Income Total Net Income($1110000+$500000) $1611000 Less:- Indirect operating Expenses =($307500) Fixed Charges =($400000) Net Income before tax = $903500 Less:- Taxes @ 20% × $903500 = ($180700) Total Net Income after tax = $722800