Answer
Projected Net Income = 770,000 - 407,000 = 363,000
Work Step by Step
Projected Net Income for 2014:
Total Variable Cost per Bowl = 18.50
Total Fixed Costs = 214,500
Total Costs = Total Variable Cost + Total Fixed Costs
Total Costs = (18.50 \times 22,000) + 214,500
Total Costs = 407,000
Projected Net Income = Expected Sales - Total Costs
