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Required information [The following information applies to the questions displayed below) Henna Co produces and sells two products, T and O. It manufactures these products in separate factories and markets them through different channels. They have no shared costs. This year, the company sold 54,000 units of each product. Sales and costs for each product follow, Sales Variable costs Contribution margin Fixed costs Income before taxes Income taxes (32% rate) Net income Product 5885,600 531,360 354,240 210,240 144,000 46,080 $ 97,920 Producto $ 185,600 172.120 703,480 564 480 144,000 46,080 $ 97,920 2. Assume that the company expects sales of each product to decline to 37,000 units next year with no change in unit selling price Prepare forecasted financial results for next year following the format of the contribution margin income statement as just shown with columns for each of the two products (assume a 32% tax rate). Also, assume that any loss before taxes yields a 32% tax benefit (Round "per unit" answers to 2 decimal places. Enter losses and tax benefits, if any, as negative values.) HENNACO Forecasted Contribution Margin Income Statement Product T Producto Units S Per unit Total $ Per unit Total 5 Total 0 5 0 0 0 0 Contribution margin 0 0 0 Net incomo (loss) Henna Co produces and sells two products, T and O. It manufactures these products in separate factories and markets them through different channels. They have no shared costs. This year, the company sold 54,000 units of each product. Sales and costs for each product follow Sales Variable costs Contribution margin Fixed costs Income before taxes Income taxes (32% rate) Net Income Product T $ 885,600 531,360 354,240 210, 240 144,090 46,080 $ 97,920 Producto $ 885,600 177, 120 788,480 564,480 144,000 46,080 $ 97,920 3. Assume that the company expects sales of each product to increase to 68,000 units next year with no change in unit selling price Prepare forecasted financial results for next year following the format of the contribution margin income statement shown with columns for each of the two products (assume a 32% tax rate). (Round "per unit" answers to 2 decimal places.) Total HENNA CO. Forecasted Contribution Margin Income Statement Product Producto Units S Per unit Total $ Per unit Total $ 0 $ 0 $ 0 0 0 0 Contribution margin 0 $ Net Income (loss)

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