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Hyperion, Inc. currently sells its latest high-speed colour printer, the Hyper 500 , for $361. It plans to lower the price to $309 next year.

image text in transcribed Hyperion, Inc. currently sells its latest high-speed colour printer, the Hyper 500 , for $361. It plans to lower the price to $309 next year. Its cost of goods sold for the Hyper 500 is $206 per unit, and this year's sales are expected to be 21,000 units. a. Suppose that, if Hyperion drops the price to $309 immediately, it can increase this year's sales by 30% to 27,300 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 $71 per year on ink cartridges for the three years, and Hyperion has a gross profit margin of 68% on ink cartridges. What is the incremental impact on EBIT for the next three years of a price drop this year? a. Suppose that, if Hyperion drops the price to $309 immediately, it can increase this year's sales by 30% to 27,300 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.) b. Suppose that, for each printer sold, Hyperion expects additional sales of $71 per year on ink cartridges for the three years, and Hyperion has a gross profit margin of 68% on ink cartridges. What is the incremental impact on EBIT for the next three years of a price drop this year? The change in EBIT from ink cartridge sales will be $ (Round to the nearest dollar.) The incremental change in EBIT for the first year is $ (Round to the nearest dollar.) The incremental change in EBIT for the second year is : (Round to the nearest dollar.) The incremental change in EBIT for the third year is $. (Round to the nearest dollar.)

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