(Answered) 1 the vinyl cd co is going to take on a project that is

Finance

1. The Vinyl CD Co. is going to take on a project that is expected to increase its EBIT by $80,000, its fixed cost cash expenditures by $125,000, and its depreciation and amortization by $75,000 next year. If the project yields an additional 10 percent in revenue, what percentage increase in the project's EBIT will result from the additional revenue

2. Cash Flow DOL: For the Vinyl CD Co. in question 5, what percentage increase in pretax operating cash flow will be driven by the additional revenue?

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