Managerial Accounting: E7-33 Power Grid Engineering Associates, Inc. provides consulting services

Note: There are other versions of this problem so review and compare your homework question with our tutorial. Managerial Accounting Exercise 7-33 Power Grid Engineering Associates, Inc. provides consulting services to commercial electric utilities. The consulting firm’s contribution-margin ratio is 15% and its annual fixed expenses are $285,000. The firm’s income tax rate is 30%. Required: 1. Calculate the firm’s break-even volume of service revenue. 2. How much before tax income must the firm earn to make an after tax net income of $154,000? 3. What level of revenue for consulting services must the firm generate to earn an after tax net income of $154,000?