Simplified Income Statement Changing Cells Fixed Expenses Price Volume COGS (pct) VarExp (pct) Operating Dept Interest Exp 1. Use Solver to answer the question: What volume of sales is necessary to achieve 0 net income (break -even volume) for a sales price of 2.25 2.25 4,000,000 25 35 300000 300000 250000 Record answer here: Income Statement Sales Revenue Advanced 9,000,000.00 2. Use Solver to answer the question: What price of sales is necessary to achieve 0 net income (break even volume) for a volume of 4,000,000 Cost of Good Sold Expense 2,250,000.00 Gross Margin 6,750,000.00 Record answer here: Variable Operating Expenses 3,150,000.00 Contribution Margin 3,600,000.00 Fixed Expenses Operating Expenses 300,000.00 Depreciaiton Expense 300,000.00 Operating Earnings (EBIT*) 3,000,000.00 Interest Expense 250,000.00 2,750,000.00 Income Tax Expense (use tax rate of 32 pct) 880,000.00 Net Income 1,870,000.00 * EBIT - earnings before interest and tax This income statement assumes no taxe shields for interest or depreciaiton expenses This income statement assumes tax rate is 32 percent