Question

i need all the blanks in both pictures please. thank you!

Integrative-Pro forma statements Red Queen Restaurants wishes to prepare financial plans. Use the financial statements and the other information provided here to prepare the financial plans. The following financial data are also available: (1) The firm has estimated that its sales for 2020 will be $900,100 (2) The firm expects to pay $34,000 in cash dividends in 2020. (4) Accounts receivable represent approximately 24% of annual sales. (5) The firm's ending inventory will change directly with changes in sales in 2020. (6) A new machine costing $43,300 will be purchased in 2020. Total depreciation for 2020 will be $16.700. (7) Accounts payable will change directly in response to changes in sales in 2020. (8) Taxos payable will equal one-fourth of the tax liability on the proforma income statement (9) Markotable securities, other current liabilities, long-term debt and common stock will remain unchanged. a. Prepare a proforma income statement for the year ended December 31, 2020, using the percent of sales method b. Prepare a pro forma balance sheet dated December 31, 2020, using the judgmental approach a. Prepare a pro forma income statement for the yoar onded December 31, 2020, using the percent-of-sales method. Complete the proforma income statement for the year ended December 31, 2020 below. (Round to the nearest dollar. Round the percentage of sales to four decimal places.) Pro Forma Income Statement Red Queen Restaurants (percent-of-sales method) Sales Less: Cost of goods sold Gross profits

Answer 1

Ans.

Pro Forma Income Statement
Red Queens Restaurants
For the Year Ended December 31, 2020
(percent-of-sales method)
Sales revenue	$          900,100.00
Less: Cost of goods sold	$          673,726.20	74.8501%
Gross profit	$          226,373.80
Less: Operating expenses	$          112,737.30	12.5250%
Net Profits before taxes	$          113,636.50
Less: taxes (rate= 40%)	$            45,454.60
Net profits after taxes	$            68,181.90
Less: Cash dividends	$            34,000.00
To retained earnings	$            34,181.90

	Pro Forma Balance Sheet
	Red Queen Restaurants
	December 31,2020
	(Judgmental Method)
Assets	Liabilities and Stockholders' equity
Cash	$            31,700.00	Accounts payable	$           112,849.60
Marketable securities	$            17,200.00	Taxes payable	$             11,363.65
Accounts receivable	$          216,024.00	Other current liabilities	$               5,800.00
Inventories	$          112,062.80	Total current liabilities	$           130,013.25
Total current assets	$          376,986.80	Long-term debt	$           198,900.00
Net fixed assets	$          377,300.00	Total liabilities	$           328,913.25
		Common stocks	$           149,200.00
		Retained earnings	$           209,181.90
		External Funds Required	$             66,991.65
Total assets	$          754,286.80	Total Liabilities and equity	$           754,286.80