ASSUMPTIONS
Sales Price per Unit	$49.99
Gross Margin = (Revenues - cost of goods sold) / Revenues	25%
Depreciation & amortization as a % of capital expenditures	25%
Tax Rate	35%
Year	2014	2015	2016	2017	2018
Units Sold	200,000
Growth Rate Of Unit Sold		5%	13%	15%	9%
Operating Expenses as % of Sales (2014 Only)	10%
Operating Expense Growth Rate		4%	4%	4%	4%
Capital Expenditures	$1,750,000	$1,775,000	$1,800,000	$1,825,000	$1,850,000
Interest Expense	$0	$10,000	$10,000	$10,000	$12,500
Income Statement
Year	2014	2015	2016	2017	2018
Units Sold	9,998,000
Price per Unit
Revenue
Cost of goods sold
Gross Profit (defined as Revenue - COGS)
Operating Expenses
Earnings Before Interest Taxes Depreciation And Amortization (Ebitda)
EBITDA / Revenue (%)
Depreciation and Amortization
Operating Income (defined as EBITDA - Depreciation and Amortization)
Interest Expense
Pre-tax Net Income (Operating Income - Interest Expense)
Income Taxes
Net Income (Pret-tax Net Income - Income Taxes)
**If Depreciation & Amortization as a % of Capital Expenditures is changed to 30%, what is Net Income in 2017?