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can someone help me with this practice problem there are two parts Kokomochi is considering the launch of an advertising campaign for its latest dessert
can someone help me with this practice problem there are two parts
Kokomochi is considering the launch of an advertising campaign for its latest dessert product, the Mini Mochi Munch Kokomochi plans to spend 546 million on TV radio, and print advertising this year for the campaign. The ads are expected to boost sales of the Mini Mochi Munch by $8.7 million this year and $07 milion next year In addition, the company expects that new consumers who try the Mini Mochi Munch will be more likely to try Kokomochi's other products. As a result, sales of other products are expected to rise by $1.7 million each year Kokomochi's gross profit margin for the Mini Moch Munch is 30%, and its gross profit margin averages 25% for all other products. The company's marginal corporate tax rate is 35% both this year and next year What are the incremental earings associated with the advertising campaign? Complete the table below. (Round to the nearest dollar Incremental Earnings Forecast Year 1 Sales of Mini Mochi Munch $ $ 5 Other Sales Cost of Goods Sold Grass Profit Selling General and Admin Expenses Depreciation EBIT Income tax of 35% Unlevered Net Income S $ Enter any number in the edit fields and then click Check Answer 1 port romaining Clear All Check Step by Step Solution
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