Pangea anticipates 5% increase in demand from the Delaware plant for 2018 (vs 2017). Sales are higher in the warmer portion of the year, so April-Sept sales are usually double Oct-Mar sales. Salaries and Wages includes 10 full time employees. Salaries will increase 3% for the same headcount (annual raises). Fringe Benefits are expected to be 50% of Salaries and Wages in 2018. 2016 and 2017 Outside Contractors includes 3 consultants used regularly. The plant wants to hire an additional outside contractor to help maintain the equipment in 2018. Manufacturing Supplies, Utilites and Warehousing Costs are generally volume-related. The plant is working on some efficiency improvements; these would reduce volume-related costs by approximately 3% for the 2nd half of 2018. Sales expenses are expected to be consistent based on volume The plant is also interested in adding a new mixing tank to assist with the extra volume: cost would be $65,000 with estimated life of 10 years. Pangea hopes to finish paying off the loan on the Delaware plant in 2018.As of August 2017, there is $1,200,000 remaining on the 4% loan. Pangea plans to pay off $400,000 in Sep-Dec 2017 and the remaining $800,000 in 2018.Interest is paid monthly.The loan does not compound interest, For simplicity sake, ignore income taxes.