Suppose a firm's tax rate is 35% a. What effect would a $10.38 milion operating expense have on this year's earnings? What effect would have on next year's earning? b. What effect would an 58.85 million capital expense have on this year's camins if the capital is deprecated at a rate of $1.77 million per year for five years? What effect would have on next year's earnings? a. What effect would a $10.38 million operating expense have on this year's earnings? Earings would increase (dedine) by 5 million (Round to two decimal places, and we ar a negative number for a dedine) What affect would have on next year's earnings? (Select the best choice below) O A. Next year's earnings will be affected by an increase of $3.63 millon OB. There would be no effect on next year's earnings OC. Next year's earnings will be affected by the same amount OD. Next year's earnings will be affected by a decine of 3.63 milion b. What effect would an 58 85 milion capital expense have on this year's earnings if the capital is depreciated at a rate of $1.77 milion per year for five years? What effect would have on next year's earnings? Earnings would be higher (lower) each year by $million (Round to two decimal places, and use a negative number for a decline)