Current Attempt in Progress 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. Colossal Chemical Corporation Year Ended December 31, 2021 ($000,000 omitted) Base Case Sales $2,110 $ Cost of goods sold 1,203 Selling, general, and 422 administrative expense Depreciation 121 Research and development 110 Total costs and expenses $1,856 $ Operating Income 254 Interest expense 34 34 Earnings before Income Taxes $220 $ Provision for Income Taxes 42 Net Income $ 178 $ Combined For the base case in this question, as a percentage of sales, COGS 57 percent, SGA = 20 percent, R&D = 5.2 percent. Depreciation, Interest expense are fixed as stated. Tax Rate is 19 percent.