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(10pts) 3. In 2021, ALB Corporation's CFO considered increasing sales by undertaking a targeted marketing campaign. Sales would increase by 18%, but its operating margin

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(10pts) 3. In 2021, ALB Corporation's CFO considered increasing sales by undertaking a targeted marketing campaign. Sales would increase by 18%, but its operating margin would fall from 17% to 15.5%. (2pts) a) What would be ALB 's EBIT if the CFO decided to undertake this marketing campaign? (2pts.) b) What would be ALB 's net income in 2021? (Assume that the tax rate is 24.4% and that ALB 's interest expenses remain unchanged.) (6pts) c) There is no change in ALB 's outstanding shares after the campaign (12.5 million shares as before), and its P/E ratio also remains the same. What is ALB 's new market price per share? Should the CFO undertake this campaign? Why or why not? Explain. Income Statement

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