Percentage increase in profits before income taxes

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Reference no: EM131173304

Mildura Pty Ltd produced and sold 45,000 units of a single product last year.  Data concerning the year's income statement is as follows:

Sales revenue

$1,350,000

Manufacturing costs:

 

  Variable

$585,000

  Fixed           

$270,000

Selling costs

 

  Variable costs

$40,500

  Fixed costs

$54,000

Administrative costs

 

  Variable costs

 $184,500

  Fixed costs

  $108,000

Assuming sales revenue increases by 15 per cent, what will be the percentage increase in profits before income taxes?

Reference no: EM131173304

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