E. If the firm spends the additional 281,000 for advertising in the year 2, what is the sales level in dollars required to equal the year 1 after-tax operating profit?

Eagle Company makes the MusicFinder, a sophisticated satellite radio. Eagle has experienced a steady growth in sales for the past five years. However, Ms. Luray, Eagle's CEO, belleves that to maintain the company's present growth will require an aggressive advertising campaign next year. To prepare for the campaign, the company's accountant, Mr. Bednarik, has prepared and presented to Ms. Luray the following data for the current year, year 1: 98 43 20 161 Variable contes Direct labor (per unit) Direet materiale (per unit) Variable overhead (per unit) Total variable conte (per unit) Fixed costa (annual) Manufacturing Selling Administrative Total fixed conta (annual) Selling price (per unit) Expected sales revenue, year 1 (26,000 unita) S 384,000 292,000 785.000 $. 1, 461,000 401 $ 10,426.000 Eagle has an income tax rate of 35 percent Ms. Luray has set the sales target for year 2 at a level of $12,431.000 (or 31000 radios). Required: a. What is the projected after tax operating profit for year 1? b. What is the break even point in units for year 1? c. Ms. Luray believes that to attain the sales target (31000 radios) will require additional seling expenses of $281,000 for advertising in year 2, with all other costs remaining constant. What will be the ofter-tax operating profit for year 2 ir the firm spends the additional $281,000? d. What will be the break-even point in sales collars for year 2 of the firm spends the additional $281000 for advertising e. If the firm spends the additional $281,000 for advertising in year 2. what is the sales level in dollars required to equal the year 1 after-tax operating profit? 1. At a sales level of 31.000 units, what is the maximum amount the firm can spend on advertising to earn an after-tax operating profit of Eagle has an income tax rate of 35 percent. Ms. Luray has set the sales target for year 2 at a level of $12,431,000 (or 31,000 radios) Required: a. What is the projected after-tax operating profit for year 1? b. What is the break-even point in units for year 1? c. Ms. Luray believes that to attain the sales target (31,000 radios) will require additional selling expenses of $281,000 for advertising in year 2, with all other costs remaining constant. What will be the after-tax operating profit for year 2 If the firm spends the additional $281,000? d. What will be the break-even point in sales dollars for year 2 if the firm spends the additional $281.000 for advertising? e. If the firm spends the additional $281,000 for advertising in year 2. what is the sales level in dollars required to equal the year 1 after-tax operating profit? f. At a sales level of 31.000 units, what is the maximum amount the firm can spend on advertising to earn an after tax operating profit of $768,000? Complete this question by entering your answers in the tabs below. Required A Required B Required Required D Required E Required F If the firm spends the additional $281,000 for advertising in year 2, what is the sales level in dollars required to equal the year 1 after-tax operating profit? (Solve by computing volume in units first. Round up units to the nearest whole number and round your final answer to the nearest whole dollar amount.) Sales level