A. Suppose a company has $10,000,000 million in (annual) revenue and spends 45% of its revenues on purchases. By how much can this company increase its bottom line (profits) if it can decrease purchasing costs by 0.75%? (Display your answer as a whole number.)
B. A small company has $4,000,000 in (annual) revenue, spends 45% of its revenues on purchases, and has a net profit margin of 5.25%. They would like to increase their profits and they are looking at focusing in one of two directions. First, they think they can save 1.00% on their purchase expenses. Or second, they can focus on increasing sales.
By how many dollars would they have to increase sales in order to equal a 1.00% savings to purchasing expenses? (Display your answer as a whole number.)