Elmdale Enterprises is deciding whether to expand its production facilities. Although long-term cash flows are difficult to estimate, management has projected the following cash flows for the first two years (in millions of dollars) Year 1 126.7 40.4 22.4 159.8 47.5 COGS and Operating expenses (other than depreciation) Depreciation Increase in working capital 7.2 40.3 45% Capital expenditures 26.1 45% Marginal corporate tax rate a. What are the incremental earnings for this project for years 1 and 2 b. What are the free cash flows for this project for the first two years? a. What are the incremental earnings for this project for years 1 and 2? The incremental earnings for year 1 is Smilli (Round to one decimal place.) The incremental earnings fo 2 is illion (Round to one decimal place.) b. What are the free cash flows for this project for the first two years? The free cash flow for year 1 is Smilion (Round to one decimal place.) The free cash flow for year 2 is Smillion (Round to one decimal place.)