The city of Clement levies a $5$ percent tax on the base price of rooms provided by hotels and motels located within the city limits$.$ This year, the aggregate room price subject to tax was $$24$ million, so current year revenue was $$1\mathrm{.}20$ million. Clement's city council recently voted to increase the hotel tax rate to $6$ percent for the next fiscal year.

Required:

a$.$ Compute next year's hotel tax revenue assuming next year's tax base equals the current year base.

b$.$ Compute next year's hotel tax revenue assuming next year's tax base decreases to $$21$ million.

c$.$ Compute next year's hotel tax revenue assuming next year's tax base decreases to $$18$ million.

Complete this question by entering your answers in the tabs below.

Required $A$

Compute next year's hotel tax revenue assuming next year's tax base equals the current year base.

Note: Enter your answer in millions rounded to $2$ decimal places.

Tax revenue

million

Required A