Integrative Cases 3-72 (Algo) Financial Modeling (LO 3-1, 2, 3, 4, 5) Three entrepreneurs were looking to start a new brewpub near Sacramento, Californio, called Roseville Brewing Compariy (RBC) Brewpubs pronde two products to customers-food from the restaurant segment and frestily brewed beer from the beer production segment. Both segments are typically in the same building. which allows customers to see the beer-brewing process After months of research, the owners created a financial model that showed the following projectiofis for the first year of operations in the process of pursuing caphal through prwate investors and financial institutions. RBC was approached with several questions. The following repreients a sample of the more common questions asked - Whot is the break-even point? - Whot sales dollors will be requited to make $130000 ? To make $480,000? - Is the product mix reasonable? (Beer tends to have a higher contribution morgin fatio than food, and therefore product mix. assumptions are critical to profit projections) - What hoppens to operoting protit if the product mix shifts? - How will changes in pice atfect operating profit? - How much does a pint of beer cost to produce? It became clear to the owners of RBC that the initial financial model was not adequate for answering these types of questions. After further research, RBC created another financial model that provided the following information for the first year of operations Required: Perform a sensitivity analvsis bv answerina the followina auestions: Required: Perform a sensitivity analysis by answering the following questions: a. What is the break-even point in sales dollars for RBC? b. What is the margin of safety for RBC? c. What sales dollars would be required to achieve an operating profit of $130,000?$480,000? Complete this question by entering your answers in the tabs below. What is the break-even point in sales dollars for RBC? (Round intermediate calculations to 3 decimal places answer to the nearest whole dollar.)