For the base case in this section, as a percentage of sales, COGS = 69 percent, SGA = 13 percent, R&D = 2.2 percent. Depreciation, Interest expense are fixed as stated. Tax Rate is 18 percent. 1.a Given the following case, calculate the independent effects of a 1 percent increase in Gross Margin, a 1 percent decrease in the TaxRate, and a 5 percent increase in Sales. Colossal Chemical Corporation Year Ended December 31, 2021 ($000,000 omitted) Base Case 1% Increase in Gross Margin 1% Decrease in Tax Rate 5% Increase in Sale Sales $ $ $ 2,110 Cost of goods sold 1,456 Selling, general, and 274 administrative expense Depreciation 160 Research and development 46 $ Total costs and expenses $ 1,936 Operating Income 174 Interest expense 39 Earnings before Income Taxes $ 135 Provision for Income Taxes 24 Net Income $ 111 $ to