Can you please help with this question

Your Competitive Intelligence team reports that a wave of product liability lawsuits is likely to cause Digby to pull the product Drum entirely off the market this year. Assume Digby scraps all capacity and inventory this round, completely writing off those assets and escrowing the proceeds to a settlement fund, and assume these lawsuits will have no effect on any other products of Digby or other companies. Without Digby's product Drum how much can the industry currently produce in the Core segment? Consider only products primarily in the Core segment last year. Ignore current inventories. Figures in thousands (000).Select: 1

5,419

9,652

4,407

10,838

8,552

8,675

7,575

cost to carry unsold goods in inventory. Depreciation: Calculated on straightline 15year depreciation of plant value. R&D Costs: R&D department expenditures for each product. Admin: Administration overhead is estimated at 1.5% of sales. Promotions: The promotion budget for each product. Sales: The sales force budget for each product. Other: Charges not included in other categories such as Fees, Write Offs, and TQM. The fees include money paid to investment bankers and brokerage firms to issue new stocks or bonds plus consulting fees your instructor might assess. Writeoffs include the loss you might experience when you sell capacity or liquidate inventory as the result of eliminating a production line. If the amount appears as a negative amount, then you actually made money on the liquidation of capacity or inventory. EBIT: Earnings Before Interest and Taxes. Short Term Interest: Interest expense based on last year's current debt, including short term debt, long term notes that have become due, and emergency loans. Long Term Interest: Interest paid on outstanding bonds. Taxes: Income tax based upon a 35% tax rate. Profit Sharing: Profits shared with employees under the labor contract. Net Prot: EBIT minus interest, taxes, and profit sharing. Other EBIT Short Term Interest LongTerm Interest Taxes Profit Sharing Net Profit $4,504 $25,067 $3,406 $10,073 $4,055 $151 $7,382 3.2% 17.6% 2.4% 7.1% 2.8% 0.1% 5.2%