Butterfly Tractors had $14 million in sales last year. Cost of goods sold was

Butterfly Tractors had $14 million in sales last year. Cost of goods sold was $8 million depreciation expense was $2 million interest
payment on outstanding debt was $1 million and the firm%u2019s tax rate was 35%

What would happen to net income and cash flow if depreciation were increased by $1 million? (Input all amounts
as positive values. Enter your answers in millions rounded to 2 decimal places.)

(Click to select) decreased increased by
(Click to select) decreased increased by

What would be the impact on net income and cash flow if the firm%u2019s interest expense were $1 million higher. (Input all amounts as positive values. Enter your answers in millions rounded to 2 decimal places.)

(Click to select) decreased increased by
(Click to select) decreased increased by