crystal coast is an all-inclusive beachside resort. it offers lodging, six restaurants, dancing, snorkeling, parasailing, and spa treatments. on the resort grounds, crystal coast also has a dive center, jet skis, and a water park. all of these amenities are only available to customers staying at crystal coast. crystal coast’s strategic position emerges from

Aproject currently generates sales of $14 million, variable costs equal 50% of sales, and fixed costs are $2.8 million. the firm’s tax rate is 40%. assume all sales and expenses are cash items. (a). what are the effects on cash flow, if sales increase from $14 million to $15.4 million? (input the amount as positive value. enter your answer in dollars not in (b) what are the effects on cash flow, if variable costs increase to 60% of sales? (input the amount as positive value. enter your answers in dollars not in millions). cash flow (increase or decrease) by $