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help with B Sales Variable costs Revenue before fixed costs Fixed costs EBIT Interest expense Earnings before taxes Taxes at 22% Net income $51,976,065 (23,998,000)
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Sales Variable costs Revenue before fixed costs Fixed costs EBIT Interest expense Earnings before taxes Taxes at 22% Net income $51,976,065 (23,998,000) $27,978,065 (14,028,000) $13,950,065 (1,455,638) $12,494,427 (2,748,774) $9,745,653 (Break-even analysis) You have developed the income statement in the popup window, , for the Hugo Boss Corporation. It represents the most recent year's operations, which ended yesterday. Your supervisor in the controller's office has just handed you a memorandum asking for written responses to the following questions: a. What is the firm's break-even point in sales dollars? b. If sales should increase by 20 percent, by what percent would earnings before taxes (and net income) increase? a. What is the firm's break-even point in sales dollars? $ 26060424 (Round to the nearest dollar.) b. If sales should increase by 20 percent, by what percent would earnings before taxes increase? % (Round to two decimal places.)Step by Step Solution
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