For 2005, Omega Metals reported $9,000 of sales, $6,000 of operating costs other than depreciation, and $1,500 of depreciation.The company had no amortization charges, it had issued $4,000 of bonds that carry a 7% interest rate, and its federal-plus-state income tax rate was 40%.2006 data are expected to remain unchanged except for one item, depreciation, which is expected to increase by $1,000. By how much will the depreciation change cause the firm's net income and net cash flow to change?Note that the company uses the same depreciation for tax and stockholder reporting.

a. $200, $400

b.-$200, -$600

c.-$200, $400

d.-$600, $200

e.-$600, $400

Maybe the answer is E but I don't know how to do it. Please show me how to solve it