Your Company Has Pretax Income of $52,000 on Sales of $506,000.Sales

Your company has pretax income of $52,000 on sales of $506,000.Sales are expected to increase by 6 percent next year and the tax rate is 40 percent.What is the expected net income for next year if your firm uses the percentage of sales approach when compiling pro forma statements?

A) $28,938
B) $31,835
C) $33,072
D) $35,582
E) $44,520