Complete the Year 2 income statement data for Cute Camel, then answer the questions that follow. Be sure to round each dollar value to the nearest whole dollar.
Cute Camel Woodcraft Company Income Statement
For Year Ending December 31
Year 1 Year 2 (Forecasted)
Net sales $15,000,000
$
Less: Operating costs, except depreciation and amortization 10,500,000
Less: Depreciation and amortization expenses 600,000
Operating income (or EBIT) $3,900,000
$
Less: Interest expense 390,000
Pre-tax income (or EBT) 3,510,000
Less: Taxes (40%) 1,404,000
Earnings after taxes $2,106,000
$
Less: Preferred stock dividends 100,000
Earnings available to common shareholders 2,006,000
Less: Common stock dividends 842,400
Contribution to retained earnings $1,163,600
$