2. Valentine Productions, is a production company plan and produces lighting, staging, music, and subcontracts other area of a full event experience. With over 15 full time staff, their payroll is their biggest cost. The average payroll for each employee is $35,000 per year. Their staff are used in general areas for the company and are not directly related to each event they do. Last year they hit it out of the park, and their annual sales were at $5,500,000. Before they could all celebrate the CEO Tim wanted to see their overall gross and net profit margins. Besides their staff, they purchased $100,000 in vehicles, $50,000 in tape, and $75,000 in cords and light bulbs, and $After all those costs Valentine had other expenses of $50,000 in gas, $100,000 in insurances and permits, $25,000 in advertising, and $80,000 in utilities, insurances, and other expenses. Their corporation had to pay 40% in corporate taxes in the end of the year. What is their Gross profit? What is their total in operating expenses? What is their Net Profit? What is their tax bill they had to pay the IRS at the end of the year? Answer: