Information on operating expenses for years 2 and 3 of the pro forma income statement may__________.
A) be calculated as a percentage of sales from year 1
B) be computed based on industry standards
C) be obtained from supplier cost estimates
D) All of the answers are correct.
E) None of the answers apply.

Question

Quizplus · Accepted Answer

Operating expenses for future years can be estimated using various methods, including as a percentage of sales from previous years, based on industry standards, or from supplier cost estimates.

Information on Operating Expenses for Years 2 and 3 of the Pro