Question: need help with C, D and F please show work Eagle Company makes the MusIcFInder, a sophisticated satellite radlo. Eagle has experlenced a steady growth



Eagle Company makes the MusicFinder, a sophisticated satellite radio. Eagle has experienced a steady growth in sales for the past five years. However, Ms. Luray. Eagle's CEO, belleves that to maintain the company's present growth will require an aggressive advertising campaign next year. To prepare for the campaign, the company's accountant, Mr. Bednarik, has prepared and presented to Ms. Luray the following data for the current year, year 1 91 43 19 $ 153 Variable costs Direct Labor (per unit) Direct materials (per unit) variable overhead (per unit) Total variable costs (per unit) Fixed costs (annual) Manufacturing Selling Administrative Total Fixed costs annual) Selling price (per unit) Expected sales revenues, year 1 (29,6ee units) 5 394,000 282,000 792.000 $ 1,473,000 413 $11.927.000 Eagle has an income tax rate of 30 percent Ms Luray has set the sales target for year 2 ot a level of $14,042,000 (or 34,000 radios) Required: 6. What is the projected after-tax operating profit for year 1? b. What is the break-even point in units for year 12 c. Ms. Luray believes that to attain the sales target (34,000 radios) will require additional selling expenses of $283.000 for advertising in year 2. with all other costs remaining constant. What will be the after-tax operating profit for year 2t the firm spends the additional $283,000? d. What will be the break-even point in sales dollars for year 2 of the firm spends the additional $283.000 for advertising e. If the firm spends the additional $283,000 for advertising in year 2. what is the sales leven doors required to equal the year 1 after-tax operating profit? t. At a sales level of 34.000 units, what is the maximum amount the firm con spend on advertising to earn an after-tax operating pront of $7570002 Required C Required D Required E Required F attain thcsales target (34,000 radios) will require additional selling e all other costs remaining constant. What will be the after-tax operatin 3,000? $ 4,961,500 X Required A Required B Required C Required D Red What will be the break-even point in sales dollars for year 2 if by computing volume in units first. Round up units to the nea whole dollar amount.) Break-even in sales CA $ 6,754
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