Income Statement ($K) Period Ending Total Revenue Cost of Revenue Gross Profit SG&A Non Recurring EBIT EBT Interest Expense Income Tax Expense Net Income Balance Sheet ($K) Period Ending Assets Cash Net Receivables Inventory (Accounts Payable) Other Current Assets Working Capital Requirement Long Term Investments PPE (Net) Goodwill & Intangible Assets Total Fixed Assets Total Invested Capital Financial Liabilities & Shareholder Equity Current Long Term Debt Long Term Debt Total Financial Liabilities Common Stock Retained Earnings Total Shareholder Equity Total Capital Employed FY T-2 11,279,000 8,465,000 2,814,000 1,427,000 38,000 1,349,000 253,000 1,096,000 316,000 780,000 FY T-2 216,000 1,310,000 143,000 -1,085,000 282,000 650,000 287,000 5,067,000 940,000 6,294,000 7,160,000 637,000 4,913,000 5,550,000 7,000 1,603,000 1,610,000 7,160,000 FY T-1 10,836,000 7,934,000 2,902,000 1,247,000 77,000 1,578,000 229,630 1,348,370 313,000 1,035,370 FY T-1 353,000 1,320,000 122,000 -1,224,000 413,000 631,000 287,000 4,937,000 940,000 6,164,000 7,148,000 637,000 4,470,000 5,107,000 45,000 1,996,000 2,041,000 7,148,000 FY T 11,343,000 8,120,000 3,223,000 1,364,000 110,000 1,749,000 208,925 1,540,075 416,000 1,124,075 FY T 1,426,000 1,317,000 189,000 -1,811,000 381,000 76,000 287,000 5,003,000 940,000 6,230,000 7,732,000 637,000 4,292,000 4,929,000 86,000 2,717,000 2,803,000 7,732,000 Estimated T +1 Estimated T +1

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Hello, I need help with this question. Screenshots attached (the second screenshot is the balance sheet and income statement). 

 

 

 

What is your estimate for Net Income in FY T+1?
Multiple Choice
O $1,432,271
O $1,472,821
O $1,419,931
O $1,455,331
Transcribed Image Text:What is your estimate for Net Income in FY T+1? Multiple Choice O $1,432,271 O $1,472,821 O $1,419,931 O $1,455,331
Income Statement ($K)
Period Ending
Total Revenue
Cost of Revenue
Gross Profit
EBIT
EBT
SG&A
Non Recurring
Interest Expense
Income Tax Expense
Net Income
Balance Sheet ($K)
Period Ending
Assets
Cash
Net Receivables
Inventory
(Accounts Payable)
Other Current Assets
Working Capital Requirement
Long Term Investments
PPE (Net)
Goodwill & Intangible Assets
Total Fixed Assets
Total Invested Capital
Financial Liabilities & Shareholder Equity
Current Long Term Debt
Long Term Debt
Total Financial Liabilities
Common Stock
Retained Earnings
Total Shareholder Equity
Total Capital Employed
Dividends
FY T-2
11,279,000
8,465,000
2,814,000
1,427,000
38,000
1,349,000
253,000
1,096,000
316,000
780,000
FY T-2
216,000
1,310,000
143,000
-1,085,000
282,000
650,000
287,000
5,067,000
940,000
6,294,000
7,160,000
637,000
4,913,000
5,550,000
7,000
1,603,000
1,610,000
7,160,000
FY T-1
10,836,000
7,934,000
2,902,000
1,247,000
77,000
1,578,000
229,630
1,348,370
313,000
1,035,370
FY T-1
353,000
1,320,000
122,000
-1,224,000
413,000
631,000
287,000
4,937,000
940,000
6,164,000
7,148,000
637,000
4,470,000
5,107,000
45,000
1,996,000
2,041,000
7,148,000
642,370
FY T
11,343,000
8,120,000
3,223,000
1,364,000
110,000
1,749,000
208,925
1,540,075
416,000
1,124,075
FY T
1,426,000
1,317,000
189,000
-1,811,000
381,000
76,000
287,000
5,003,000
940,000
6,230,000
7,732,000
637,000
4,292,000
4,929,000
86,000
2,717,000
2,803,000
7,732,000
403,075
Estimated T
+1
Estimated T
+1
Assumption T
+1
Assumption T
+1
Transcribed Image Text:Income Statement ($K) Period Ending Total Revenue Cost of Revenue Gross Profit EBIT EBT SG&A Non Recurring Interest Expense Income Tax Expense Net Income Balance Sheet ($K) Period Ending Assets Cash Net Receivables Inventory (Accounts Payable) Other Current Assets Working Capital Requirement Long Term Investments PPE (Net) Goodwill & Intangible Assets Total Fixed Assets Total Invested Capital Financial Liabilities & Shareholder Equity Current Long Term Debt Long Term Debt Total Financial Liabilities Common Stock Retained Earnings Total Shareholder Equity Total Capital Employed Dividends FY T-2 11,279,000 8,465,000 2,814,000 1,427,000 38,000 1,349,000 253,000 1,096,000 316,000 780,000 FY T-2 216,000 1,310,000 143,000 -1,085,000 282,000 650,000 287,000 5,067,000 940,000 6,294,000 7,160,000 637,000 4,913,000 5,550,000 7,000 1,603,000 1,610,000 7,160,000 FY T-1 10,836,000 7,934,000 2,902,000 1,247,000 77,000 1,578,000 229,630 1,348,370 313,000 1,035,370 FY T-1 353,000 1,320,000 122,000 -1,224,000 413,000 631,000 287,000 4,937,000 940,000 6,164,000 7,148,000 637,000 4,470,000 5,107,000 45,000 1,996,000 2,041,000 7,148,000 642,370 FY T 11,343,000 8,120,000 3,223,000 1,364,000 110,000 1,749,000 208,925 1,540,075 416,000 1,124,075 FY T 1,426,000 1,317,000 189,000 -1,811,000 381,000 76,000 287,000 5,003,000 940,000 6,230,000 7,732,000 637,000 4,292,000 4,929,000 86,000 2,717,000 2,803,000 7,732,000 403,075 Estimated T +1 Estimated T +1 Assumption T +1 Assumption T +1
Expert Solution
Step 1

Answer 

Formula SG&A / Total Revenue SG&A / Total Revenue SG&A / Total Revenue SG&A / Total Revenue SG&A / Total Revenue
Percentage of SG&A to Revenue 12.7% 11.5% 12.0% 12.0%  
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