Charleston Inc has a manufacturing facility that produces microchips for an equipment producer in Australia. The annual operating costs for this facility are: variable costs, $150,000; fixed costs, $650,000; and depreciation, $185,000. Charleston earns revenue of $1,200,000 from this facility.

Charleston has been presented with an opportunity to modify this facility for production of a different microchip for a new customer. The company's financial analysts have gathered the following information regarding the new opportunity:

Variable costs will be 20%; fixed costs will not change; depreciation will increase by 15%; and equipment modifications costing $30,000 will be required to begin production of the new microchip. They will earn $1,900,000 from producing this new microchip.

The land and building were purchased 15 years ago for $100,000 and have a current market value of $450,000.

If Charleston decides to produce the new microchip for the new customer, they will have to reduce their production for the Australian customer to 10% of what they are currently producing.

Required: Calculate revenues and costs, assuming Charleston proceeds with manufacturing the new microchip for the new customer.