The Canton Corporation shows the following income statement. The firm uses FIFO inventory accounting. 292,250 (16,700 units at $17.50) cost of goods sold 175,350 (16,700 units at S10.50) Gross profit 116,900 Selling and administrative expense 17,535 Depreciation 17,500 operating profit 1,865 Taxes 130%) 24,560 Aftertax income 57,306 a. Assume in 20x2 the same 16,700-unit volume is maintained, but that the sales price increases by 10 percent. Because of FIFO inventory policy, old inventory will still be charged off at $10.50 per unit. Also assume selling and administrative expense will be 6 percent of sales and depreciation will be unchanged. The tax rate is 30 percent. Compute aftertax income for 20X2. (Do not round intermediate calculatiois Round your answer to the nearest whole number) ertax income b. In part a, by what percent did after tax income increase as a result of a 10 percent increase in the sales price? (Do not round intermediate calculations Input your answer as a percent rounded to 2 decimal places Gain in aftertax income e here to search