A project has fixed costs of $3,500 per year, depreciation charges of $500 a year, annual revenue of $27,000, and variable costs equal to two-thirds of revenues. a. If sales increase by 17%, what will be the percentage increase in pretax profits? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Answer is complete and correct. Pretax profit increase 30.60 % b. What is the degree of operating leverage of this project? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Degree of operating leverage