Dr. Zhivago Diagnostics Corp:'s income statement for 20X1 is as follows: Sales Cost of goods sold Gross profit Seling and administrative expense Operating profit Interest expense Income before taxes Taxes (30%) Income after taxes $ 2,910,000 1,950,000 960,000 363,000 $ 597,000 55,300 541,700 162,510 $ 379,190 a. Compute the profit margin for 20X1.(Input the profit margin as a percent rounded to 2 deci places.) Profit margin 13.0 %) b. Assume in 20X2, sales increase by 10 percent and cost of goods sold increases by 20 percent. T firm is able to keep all other expenses the same. Once again, assume a tax rate of 30 percent on income before taxes. What is income after taxes and the profit margin for 20X2? (Input the profit margin as a percent rounded to 2 decimal places.) 20X2 Income after taxes Profit margin HintsReferences eBook & Resources