eBook Edmonds Industries is forecasting the following income statement: BE $9,000,000 4,950,000 $4,050,000 1,260,000 $2,790,000 900,000 $1,890,000 472,500 $1,417,500 The CEO would like to see higher sales and forecasted net income of $1,860,000. Assume that operating costs (excluding depreciation and amortization) are 55% of sales and that depreciation and amortization and interest expenses will increase by 7%. The tax rate, which is 25%, will remain the same. (Note that while the tax rate remains constant, the taxes paid will change.) What level of sales would generate $1,860,000 in net income? Round your answer to the nearest dollar, if necessary. 8 Problem Walk-Through Sales Operating costs excluding depreciation & amortization EBITDA Depreciation and amortization EBIT Interest EBT Taxes (25%) Net income $