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A project currently generates sales of $7.9 million, variable costs equal to 41% of sales, and fixed costs of $1.5 million. The firm's tax rate
A project currently generates sales of $7.9 million, variable costs equal to 41% of sales, and fixed costs of $1.5 million. The firm's tax rate is 35%. What are the effects of the following changes on after-tax profits and cash flows?
a. Sales increase from $7.9 million to $9.9 million. (Round your answers to 3 decimal places. Enter your answers in millions of dollars.)
After Tax Profit ______________ by __________________ Millions
After Tax Cash Flow ________________ by _______________ Millions
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