Helical Products makes machined springs with elastic redundant elements so that a broken spring will continue to function. The company had GI of $450,000 with OE of $230,000 and depreciation of $48,000.

(a) How much did the company owe in taxes if its effective tax rate was 38%?

(b) Use a spreadsheet to plot the projected taxes for next year if GI and depreciation are the same as this year, but expenses may vary, due to cost cutting and increased prices, between $180,000 and $300,000. Is this a linear or nonlinear relation?