Dr$.$ Gupta Diagnostics$$ income statement for $20$XX is as follows:

Sales $$2,390,000$

Cost of goods sold $1,400,000$

Gross profit $990,000$

Selling and administrative expense $352,000$

Operating profit $638,000$

Interest expense $52,700$

Income before taxes $585,300$

Taxes $(30\%)175,590$

Income after taxes $$409,710$

a$.$ Compute the profit margin in $20$XX$.($Round the final answer to $2$ decimal places.$)$

Profit margin

$\%$

b$.$ Assume in $20$XY sales increase by $10$ percent and cost of goods sold increases by $20$ percent. The firm is able to keep all other expenses the same. Once again, assume a tax rate of $30$ percent. What are the income after taxes and profit margin in $20$XY$?($Round the profit margin to $2$ decimal places.$)$

$20$XY

Income after taxes $

Profit margin

$\%$