. 3,600 3,600 3,600 Interest 6,000 6,000 6,000 Total expenses $100,000 $128,000 $ 159, 000 Income before taxes $140,000 $142,000 $141,000 Income tax expense (40%). percentage points, from 13.9% of Sales in Year 1 to 17.7% of Sales in Year 3. In particular, the increase in Total Expenses relative to Sales was driven mainly...