Required information Use the following information for the Exercises below. (The following information applies to the questions displayed below.] Hudson Co. reports the contribution margin income statement for 2019. HUDSON CO. For Year Ended December 31, 2019 Sales (10,700 units at $300 each) Variable costs (10,700 units at $240 each) Contribution margin Fixed costs Pretax income $3,210,000 2,568,000 642,000 504,000 $ 138,000 Exercise 18-17 Target income and margin of safety (in dollars) LO C2 1. Assume Hudson Co. has a target pretax income of $161,000 for 2020. What amount of sales (in dollars) is needed to produce this target income? 2. If Hudson achieves its target pretax income for 2020, what is its margin of safety (in percent)? (Round your answer to 1 decimal place.) Answer is complete but not entirely correct. 1. 2. Amount of sales Margin of safety $ 2,520,000 5.8 % %