To achieve the target level of revenues in year 3 ($2,600), Finns’ Fridges will have to buy some…

To achieve the target level of revenues in year 3 ($2,600), Finns’ Fridges will have to buy some more equipment. This will increase the amortization expense to $1,422. Selling costs will be the same percentage of sales as in year 2, and the interest expense for the year will be $120. Use this information to determine the amount of net income the company should expect to earn in year 3.Finns’ Fridges is a company created by twin brothers David and Douglas Finn, who rented small refrigerators to other students in their college dormitory. Use the following statements to answer the questions about Finns’Fridges.
View Solution:
To achieve the target level of revenues in year 3