Suppose a$$ firm's tax rate is $25\%.$

a$.$ What effect would a $ $9\mathrm{.}99$ million operating expense have on this$$ year's earnings? What effect would it have on next$$ year's earnings?

b$.$ What effect would nbsp a $ $9\mathrm{.}35$ million capital expense have on this$$ year's earnings if the capital is depreciated at a rate of$$$ $1\mathrm{.}87$ million per year for five$$ years? What effect would it have on next$$ year's earnings?

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Part $1$

a$.$ What effect would a $ $9\mathrm{.}99$ million operating expense have on this$$ year's earnings?

Earnings would increase$($decline$)$ by $$$

$$

$7\mathrm{.}49$ million. $($Round to two decimal$$ places, and use a negative number for a$$ decline.$)$