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5 Edmonds Industries is forecasting the following income statement: The CEO would like to see higher sales and a forecasted net income of $ 2

5 Edmonds Industries is forecasting the following income statement:
The CEO would like to see higher sales and a forecasted net income of $2,100,000. Assume that
operating costs (excluding depreciation and amortization) are 55% of sales and that depreciation
and amortization and interest expenses will increase by 6%. The tax rate, which is 40%, will remain
the same. (Note that while the tax rate remains constant, the taxes paid will change.) What level of
sales would generate $2,100,000 in net income?
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