Using the base case, calculate the composite effects of a 5 percent increase in Sales, a 2 percent decrease in Gross Margin, and a 5 percent increase is SG\&A as percent of Sales. For the base case in this question, as a percentage of sales, COGS =59 percent, SGA=20 percent, R&D=5.0 percent. Depreciation, Interest expense are fixed as stated. Tax Rate is 19 percent. Attempts: 1 of 2 used
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