Check My Work $(2$ remaining$)$

Smith Bottling Company $($SBC$)$ expects this year's sales to be $$500,000.$ SBC$\text{'}$s variable operating costs are $80$ percent of sales and its fixed operating costs are $$60,000.$ SBC pays interest on its debt equal to $$20,000$ per year and its marginal tax rate is $35$ percent. SBC has no preferred stock.

a$.$ Compute SBC$\text{'}$s DOL, DFL$,$ and DTL$.$ Do not round intermediate calculations. Round your answers to two decimal places.

DOL:

DFL:

DTL:

b$.$ If sales turn out to be $$510,000$ rather than $$500,000,$ what will be SBC$\text{'}$s EBIT and net income? Do not round intermediate calculations. Round your answers to the nearest dollar.

EBIT: $

Net income: $

Check My Work $(2$ I'emaining$)$