Hyperion Inc., currently sells its latest high-speed color printer, the Hyper 500, for $342. Its cost of goods sold for the Hyper 500 is $195 per unit, and this year's sales (at the current price of $342) are expected to be 21,000 units. Hyperion plans to lower the price of the Hyper 500 to $293 one year from now. a. Suppose Hyperion considers dropping the price to $293 immediately, (rather than waiting one year). By doing so, it expects to increase this year's sales by 28% to 26,880 units. What would be the incremental impact on this year's EBIT of such a price drop? b. Suppose that for each printer sold, Hyperion expects additional sales of $78 per year on ink cartridges for the three-year life of the printer, and Hyperion has a gross profit margin of 62% on ink cartridges. What is the incremental impact on EBIT for the next three years of dropping the price immediately (rather than waiting one year)? ... a. Suppose Hyperion considers dropping the price to $293 immediately, (rather than waiting one year). By doing so, it expects to increase this year's sales by 28% to 26,880 units. What would be the incremental impact on this year's EBIT of such a price drop? The change in EBIT will be $ (Round to the nearest dollar.)

Hyperion Inc., currently sells its latest high-speed color printer, the Hyper 500 , for $342. Its cost of goods sold for the Hyper 500 is $195 per unit, and this year's sales (at the current price of $342 ) are expected to be 21,000 units. Hyperio plans to lower the price of the Hyper 500 to $293 one year from now. a. Suppose Hyperion considers dropping the price to $293 immediately, (rather than waiting one year). By doing so, it expects to increase this year's sales by 28% to 26,880 units. What would be the incremental impact on this year's EBIT of such a price drop? b. Suppose that for each printer sold, Hyperion expects additional sales of $78 per year on ink cartridges for the three-year. life of the printer, and Hyperion has a gross profit margin of 62% on ink cartridges. What is the incremental impact on EBIT for the next three years of dropping the price immediately (rather than waiting one year)? a. Suppose Hyperion considers dropping the price to $293 immediately, (rather than waiting one year). By doing so, it expects to increase this year's sales by 28% to 26,880 units. What would be the incremental impact on this year's EBIT of such a price drop? The change in EBIT will be $ (Round to the nearest dollar.)