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The CEO would like to see higher sales and a forecasted net income of $2,150,000. Assume that operating costs (excluding depreciation and amortization) are 55% of sales and that depreciation and amortization and interest expenses will increase by 11%. The tax rate, which is 25%, will remain the same. (Note that while the tax rate remains constant, the taxes paid will change.) What level of sales would generate $2,150,000 in net income? Round your answer to the nearest dollar, if necessary.

15. Problem 3.15 (Income Statement) Edmonds Industries is forecasting the following income statement: Sales $8,000,000 Operating costs excluding depreciation amortization 4,400,000 EBITDA $3,600,000 Depreciation and amortization 800,000 EBIT $2,800,000 Interest 800,000 EBT $2,000,000 Taxes (25%) 500,000 Net income $1,500,000 The CEO would like to see higher sales and a forecasted net income of $2,150,000. Assume that operating costs (excluding depreciation and amortization) are 55% of sales and that depreciation and amortization and interest expenses will increase by 11%. The tax rate, which is 25%, will remain the same. (Note that while the tax rate remains constant, the taxes paid will change.) What level of sales would generate $2,150,000 in net income? Round your answer to the nearest dollar, if necessary. $

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