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How do you calculate the budget and forecast

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Project 3 Choice Hotels Workbook 2195 - Excel
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In a February 15, 2019 Press Release, Choice Hotels announced the company's 2018 fourth quarter and full year results. Using the data from this press release, create a 2019 budget and forecast.
http://media.choicehotels.com/2019-02-15-Choice-Hotels-International-Exceeds-Top-End-Of-Full-Year-Guidance-For-EPS-And-Reports-Largest-Domestic-Pipeline-In-Companys-History?printable=1
To complete the budget, use the following information:
Revenues are expected to grow at a rate of 2.5% according to the full-year outlook.
iGiven the expected growth and recent investments, expenses are expected to increase by 1%.
Income taxes are expected to be 22%
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10
To complete the forecast, use the following information:
11
The low-range forecast is expected to be 2%
12
The mid-range forecast is expected to be 2.5%
13
The high-range forecast is expected to be 3%
14
15
16
Forecast
Forecast
Forecast
17
Budget
Low
Midpoint
High
18
Consolidated Statements of Income - USD ($ Dec. 31, 2018
Dec. 31, 2019
Dec. 31, 20
Dec. 31, 2019
19
REVENUES:
20
iRoyalty fees
S
376,676,000
21
Initial franchise and relicensing fees
$
26,072,000
22
Procurement services
52,088,000
23
Marketing and reservation system
$
543,677,000
24
Other
42,791,000
25
Total revenues
$ 1,041,304,000
Atta
26
OPERATING EXPENSES
27
Selling, general and administrative
S
170,027,000
$ 188,993,632.13 $ 191,396,093.56 $ 193,798,554.98
... Income Statement
Balance Sheet
Cash Flow
Cost and Investing
Budget and Forecast
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Project 3 Choice Hotels Workbook_2195 - Excel
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22
Procurement services
$
52,088,000
23
Marketing and reservation system
543,677,000
24
Other
42,791,000
25
Total revenues
$ 1,041,304,000
Recycle
26
OPERATING EXPENSES:
27
Selling, general and administrative
$
170,027,000
$ 188,993,632.13 $ 191,396,093.56 $ 193,798,554.98
28
Depreciation and amortization
14,330,000
$ 15,928,521.64 $
16,400,000.00 $ 16,810,000.00
29
Marketing and reservation system
$
534,266,000
$ 593,863,750.26 $ 601,412,865.73 $ 608,961,981.20
30
Total operating expenses
718,623,000
$ 798,785,904.03
$ 808,939,962.13 $ 819,094,020.23
31
Impairment of goodwill
289,000)
$ (4,767,440.98) $
(4,828,044.05) $
(4,888,647.11)
Walker, Wil
32
Gain on sale of assets, net
32,000
S
91,147.16
2,305.81
93,464.46
33
Operating income
S
318,474,000
$ 354,000,000.00
$ 358,500,000.00 $ 363,000,000.00
34
OTHER INCOME AND EXPENSES, NET:
35
Interest expense
45,908,000
$ 51,029,069.88
$
45,800,000.00 $
52,326,419.11
36
Interest income
(7,452,000)
$ (8,283,275.87) $
(7,600,000.00) $
(8,493,867.63)
Old 105
37
Other (gain) loss
1,437,000
1,597,298.37 $
46,700,000.00 $
1,637,907.65
38
Equity in net (income) loss of affiliates
5,323,000
$ 5,916,784.42
$
3,900,000.00 $
6,067,211.14
39
Total other income and expenses, net
45,216,000
$ 50,259,876.79
$
50,898,773.53 $ 51,537,670.27
40
Income before income taxes
273,258,000
$ 303,740,123.21 $ 307,601,226.47 $ 311,462,329.73
41
Income taxes
56,903,000
$ 63,250,569.91 $
56,200,000.00 $ 64,858,635.24
MCG Softy
42
Net income
216,355,
$ 193,000,000.00
$ 197,100,000.00 $ 201,000,000.00
Center
43
Basic earnings per share:
44
Basic earnings per share (in dollars per share) $
3.83
4.00
$
4.06 $
4.13
45
Diluted earnings per share (in dollars per shar $
3.80
3.44
S
4.06 $
3.58
Attachm
46
Target
Expectation
Expectation
Expectation
48
Questions:
Attachmate
49
...
Income Statement
Balance Sheet
Cash Flow
Cost and Investing
Budget and Forecast
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