BUS 400 Module Six Assignment Template – Autumn Blaising
24-Month Pro Forma
(in millions)
Income Statement Previous Fiscal Year 24-Month Projections
Sales $ 81,400 $ 90,274,197
Cost of goods sold $ 29,652 $ 30,542
Gross profit $ 51,747 $ 59,732,197
Selling expenses $ 20,818 $ 21,651
Administrative expenses $ - $ -
Total operating expense $ 33,737 $ 38,081,197
Income from operations $ 18,010 $ 21,651
Other income $ - $ -
Income before tax and
interest
$ 18,123 $ 21,764
Other expenses (interest) $ 3,411 $ 4,075
Income before income
tax
$ 14,712 $ 17,689
Income tax expense $ 3,373 $ 4,054
Net income $ 11,339 $ 13,635
Explanation of Assumptions
According to Finance Charts T-Mobile’s CAGR is 5.31% over the past 12 months
(financecharts.com). Therefore, I used the future value formula for the 24-month projection.
Ending value = Starting value * (1+CAGR) ^ number of periods
Values:
Starting value = $ 81,400 (million)
CAGR = 5.31%
N
Ending value = $81,400,000 * (1+.0531)^2 = $90,274,196.54
Cost of goods sold was calculated based on the increase of the fitness app going into production
with the added cost of 3% for 2 years you are looking at a $30,541.56
With increased marketing and selling expenses of 4% for 2 years to promote the new fitness and
health features you are looking at an expense of $21,650.72.
References
Annual financial statements as of December 31, 2024. (n.d.).
https://d18rn0p25nwr6d.cloudfront.net/CIK-0001283699/b30fc2cd-eabc-47ca-8737-
e273fdb44290.pdf
Curry, D. (2025a, April 7). Fitness app revenue and usage statistics (2025). Business of Apps.
https://www.businessofapps.com/data/fitness-app-market/
Meta platforms (Meta) revenue TTM chart - meta stock revenue TTM history. (n.d.-b).
https://www.financecharts.com/stocks/META/summary/revenue-ttm
