Required information The following information applies to the questions displayed below] Hudson Co. reports the contribution margin income statement for 2017 HUDSON Co. Contribution Margin Income Statement For Year Ended December 31, 2017 Sales (10,900 units at $225 each) Variable costs (10,900 units at $180 each) Contribution margin Fixed costs Pretax income $2,452,500 1.962.000 $ 490,500 387.000 $ 103,500 Assume the company is considering investing in a new machine that will increase its fixed costs by $39,000 per year and decrease its variable costs by $10 per unit. Prepare a forecasted contribution margin income statement for 2018 assuming the company purchases this machine. HUDSON CO. Forecasted Contribution Margin Income Statement For Year Ended December 31, 2018 Sales Variable costs Contribution margin Fixed costs Income (pretax) Should the company purchase the machine? Required information The following information applies to the questions displayed below.) Hudson Co. reports the contribution margin income statement for 2017 HUDSON CO. Contribution Margin Income Statement For Year Ended December 31, 2017 Sales (10,900 units at $225 each) Variable costs (10,900 units at $180 each) Contribution margin Pixed costs Pretax income $2,452,500 1,962,000 $ 490,500 387,000 $ 103,500 1. Assume Hudson Co. has a target pretax income of $159,000 for 2018. What amount of sales (in dollars) is needed to produce this target income? 2. If Hudson achieves its target pretax income for 2018, what is its margin of safety (in percent)? (Round your answer to 1 decimal place.) 1. Amount of sales 2. Margin of safety