(Solved): Using the base case, calculate the composite effects of a 5 percent increase in Sales, a 2 percent ...

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 $=56$ percent, $SGA=20$ percent, $R\&D=5.0$ percent. Depreciation, Interest expense are fixed as stated. Tax Rate is 21 percent.