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Use the Percentage Sales Method and a 20% increase in sales to forecast Apples' Consolidated Statement of Operations for the period September 26,...

3. Use the Percentage Sales Method and a 20% increase in sales to forecast Apples' Consolidated Statement of Operations for the period September 26, 2004 through September 25, 2005. Assume a 15% tax rate and restructuring costs of 2% of the new sales figure.
4. Discuss your results from question number #3. What assumptions have you made? Do any of your assumptions seem unreasonable?

Micro Chip Computer Corporation
Consolidated Statements of Operations For the period September 26, 2004 through
September 25, 2004
Sales $8,334.00
Cost of Sales $5,458.00
Gross Margin $2,876.00
Operating expenses:
R&D $525.00
Selling, General, and Administrative $691.00
In-process R & D ---------
Restructuring costs ---------
Total Operating Exp $1,216.00
Operating income $1,660.00
Total interest and other Income net $194.00
Income before provision for Income taxes $1,854.00
Provision for income Taxes (15%) $278.10
Net income $1,575.90

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