QUESTION:3 Hermann Industries is forecasting the following information: Sales $8,000,000 Operating costs excluding D&A. 4,400,000 EBITDA $3,600,000 Depreciation & amortization 800,000 EBIT $2,800,000 > Interest 600,000 > EBT $2,200,000 Taxes (40%) 880,000 Net income $1,320,000 The CEO would like to see higher sales and a forecasted net income of $3,300,000. Assume that operating costs (excluding depreciation and amortization) are 60% of sales and that depreciation and amortization and interest expenses will increase by 10% and 15% respectively. The tax rate, which is 40%, will remain the same. What level of sales would generate $3,300,000 in net income