1. How will an increase in sales will cause net margin on the pro forma income statement affect a firm with operation on financial leverage. I want to know if it will rise/fall/or stay the same
2. Does the pro forma income statement must be constructed prior to the pro forma balance sheet. T or F
3. A pro form a balance sheet may be call for alteration of proposed operating of financial plans T or F
4. The fixed asset turnover ratio indicates how frequently a firm liquidates its fixed assists T or F
5. The gross profit margin evaluates the profitability of all aspects of a firms operations T or F