In 2015 Beta Corporation earned gross profits of $770,000.

a. Suppose that it is financed by a combination of common stock and $1.01 million of debt. The interest rate on the debt is 11%, and the corporate tax rate is 34%. How much profit is available for common stockholders after payment of interest and corporate taxes? (Do not round intermediate calculations. Enter your answer in dollars not millions and round your answer to the nearest whole dollar amount.)

Profit available to common stockholders $

b. Now suppose that instead of issuing debt Beta is financed by a combination of common stock and $1.01 million of preferred stock. The dividend yield on the preferred is 9% and the corporate tax rate is still 34%. How much profit is now available for common stockholders after payment of preferred dividends and corporate taxes? (Do not round intermediate calculations. Enter your answer in dollars not millions and round your answer to the nearest whole dollar amount.)

Profit available to common stockholders $