=+LG 3 P13–20 Debt and financial risk Barrilla Group’s CEO has made the forecast of sales shown in the following table.

Sales Probability

€12,000,000 0.25 15,500,000 0.50 18,300,000 0.25 The company has fixed operating costs of €1,500,000 and variable operating costs of 75% of the sales level. The company pays €135,000 in interest per year. The tax rate is 24%.