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Selected financial information (000's): Sales Cost of goods sold Gross profit Operating expenses Pretax profit Income tax expense Net profit after 20Y1 $77,112 39,168

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Selected financial information (000's): Sales Cost of goods sold Gross profit Operating expenses Pretax profit Income tax expense Net profit after 20Y1 $77,112 39,168 37,944 33,660 4,284 2,142 2,142 20Y2 $78,030 39,474 38,556 33,660 4,896 2,448 2,448 1. Sales are expected to increase by 5 percent. 2. Gross margin will increase to 50 percent. 3. Operating expenses will increase to $40,100 (including $6,800 in dep 4. The tax rate will be reduced to 48 percent. Selected financial information (000's): What is the projected net profit after tax in 20Y3?

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