SECOND QUESTION Dewey Cheatum & Howe is a non-issuer manufacturer of sophisticated widgets developed and built using ever-changing, cutting edge, technology. Your CPA firm has audited DC&H for each of the last five years. You expect DC&H will likely have an initial public offering in the next year. You are beginning your field work and notice the following information while performing your preliminary analytical review: Sales Cost of Goods Sold Income Before Income Taxes Net Income CURRENT YEAR PRIOR YEAR AUDITED UNAUDITED YEAR-OVER-YEAR AMOUNTS 147,325,000 AMOUNTS 165,299,000 INCREASE (DECREASE) 17,974,000 81,029,000 57,854,000 36,462,000 64,467,000 (23,175,000) 28,005,000 23,700,000 54,797,000 31,097,000 11. What is DC&H's effective income tax rate for the prior year and the current year? Put forward two hypotheses that might explain the change