Utilizing the percent of offers technique

Reference no: EM13906609

The benefit and misfortune record of KG Electronics Limited for quite a long time 1 and 2 is given beneath:

Utilizing the percent of offers technique, set up the star forma benefit and misfortune represent year 3. Expect that the deals will be 26,000 in year 3. In the event that profits are raised to 500, what measure of held income can be normal for year3.

Year 1 2 Net sales 18,230 22,460 Cost of goods sold 13,210 16100 Gross profit 5020 6360 Selling expenses 820 890 General and administration expenses 1200 1210 Depreciation 382 364 Operating profit 2618 3896 Non-operating surplus deficit 132 82 Earnings before interest and tax 2750 3978 Interest 682 890 Earnings before tax 2068 3088 Tax 780 980 Earnings after tax 1288 2108 Dividends(given) 320 450 Retained earnings 968 1658

Reference no: EM13906609

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