WHITCOMB FOODS

Projected Annual Income Statement

Status Quo: Single Product $\%$ Increase $($Decrease$)$ Alternative:Two Products

Difference

Sales $$158,00030\%$ $$205,400$ $$47,400$

Costs

Material $32,00040\%44,80012,800$

Labor $20\%$

Rent $0\%0$

Depreciation $6,40025\%8,0001,600$

Utilities $3,40025\%4,250850$

Other $10,90045\%15,8054,905$

Total costs $$118,000$

Operating profit $$40,00045\%$ $$58,000$ $$18,000$