Under the assumption that Ideko’s market share will increase by 0.40 percent per year, you project the following

investment and depreciation:

Using this information and the attached.

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Assume the corporate tax rate is 35 % Ideko’s income statement for 2005 project net income through 2010

Fixed Assets and Capital Investment ($ 000)
	2005	2006	2007	2008	2009	2010
New Investment	4,850	4,850	4,850	4,850	4,850	119,350
Depreciation	(5,520)	(5,453)	(5,393)	(5,338)	(5,290)	(6,696)Attachment 1 Attachment 2 ATTACHMENT PREVIEW Download attachmentEstmaTed 2005 Income STaTemenTIncome STaTemenT ($ 000)Sales72685CosT of Goods SoldRaw MaTerials(15,999)DirecT Labor CosTs(17,228)Gross ProFT39458Sales and Marketng(10,794)AdminisTratve(13,003)EBI±DA15661Depreciaton(5,520)EBI±10141InTeresT Expense (neT)(73)PreTax Income10068Income ±ax(3,524)NeT Income6544Step

Under the assumption that Ideko’s market share will increase by 0.40 percent per year