1. You estimate that your soy farm will generate 2.7 million of profits on sales of 6.1 million under normal economic conditions, and that the degree of operating leverage is 2.8.What will profits be if sales turn out to be 6.3 million?Enter your answer in millions, rounded to two decimal places.

2. A company sells Gizmos to consumers at a price of $95 per unit. The costs to produceGizmos is $37 per unit. The company will sell 16,000 Gizmosto consumers each year. The fixed costs incurred each year will be $190,000. There is an initial investment to produce the goods of $3,500,000 which will be depreciated straight line over 12 year life of the investmentto a salvage value of $0. The opportunity cost of capital is 14% and the tax rate is 25%. What is operating cash flow each year?