Output level Assets Asset tullover Operating return on assets EBIT Interest expense marginal tax rate 1) Compute the operating profit margin Assets * Assel turnover 2) Compute sales revenue 130.000 units $ 7,500,000 9 times 45 % 8 times $ 670,000 3) Compute EBIT 4) Compute revenue before fixed costs (grass, The CFO has instructed you to prepare the income statement but you only have the information from Output level Assets 130,000 units $ 7,500,000 9 times 45 percent Asset turnover Operating retum on assets (OROA) Degree of operating leverage = Gross profits / EBIT Interest expanse Marginal tax rate 8 times 070,000 20 percent the previous intem and there is not enough time to collect additional information. However, using your knowiedge of inanciai anaiysis, you devise a sequence of caiculations that will determine the vaiues needed to prepare the income statement (follow the sequence below). The CFO requires that you show the supporting calculations to demonstrate how you constructed the income siaiemeni ai u he may review your work before the meeting. A. Calculate the values for the items below, ensuring that you proceed step-by-step. (8 points - 1 point each) 1. Compute the operating profit margin. 2. Compute sales revenue. 3. Compute EBIT. 4. Compute revenue before fixed costs (gross profits). 5. Cumpuie iviai vai iawie wsis. 6. Compute total fixed costs. 7. Compute the selling price per unit 8. Compute the variable cost per unit. Total wartable costino of onts sold B. Calculate the break-even number of units for the company. (1 point) C. Prepare the income statement for the company. (9 points - 1 point for each line item) Please use this income statement template: Sales revenue - COGS Gross profits - Operating expenses Opel alily alinys (EBIT) - Interest expense