PLEAse help finance

QUESTION 6 You have the following information from 2020 and are looking to forecast 2021. In 2021 you expect sales to be equal to $11 million. Using the "Percent-of-Sales model, what amount of earnings are taxable in 2021, assuming no increases in debt? Account 2020 Information Costs (excluding Depreciation) 74% of Sales Depreciation 6% of Sales Cost of Debt 79 Debt $20 million Taxes 1.5% of Sales 25% tax rate O $1.1 million $600,000 O $800,000 $700,000