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 Utilizing the fictitious company Tag-It Corporation, prepare next year’s forecast with a pro forma income statement. Here is the current income statement for Tag-It:

Click here to download the income statement.

Tag-It’s CEO has predicted a 10% increase in total revenue next year. Utilizing the percentage of sales method, prepare a forecast for next year in the section provided on the Excel spreadsheet provided.

  1. The total revenue numbers over the past 4 years for Tag-It Corporation were as follows: 
    Values in Millions:
    • 72,618
    • 73,785
    • 69,495
    • 71,879
  2. Determine whether you think Tag-It can hit the target of a 10% increase in sales next year.

Submit the Excel spreadsheet provided, saved with your name, which must include the answers to the 2 questions:  1. An updated forecast for next year, and 2. the answer to question regarding the target sales.

The use of 1 scholarly sources (e.g., textbook, article from the CEC Library) is required.







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