You estimate that your cattle farm will generate $1 million of profits on sales of $4 million under normal economic conditions and that the degree of operating leverage is 8. a. What will profits be if sales turn out to be $3.5 million? (Negative amount should be indicated by a minus sign.) b. What if they are $4.5 million?

a. Profits will (Increase/decrease) by (?) %

b. Profits will (Increase/decrease) by (?) %