Kellogg's, maker of Pop-Tarts, recently introduced Pop-Tarts Gone Nutty! The new product includes flavors such as peanut butter and chocolate peanut butter. Although the new Gone Nutty! product will reap a higher wholesale price for the company ($1.35 per eight-count package of the new product versus $1.10 per package for the original product), it also comes with higher variable costs ($0.50 per eight-count package for the new product versus $0.15 per eight-count package for the original product). Assume the company expects to sell 6 million packages of Pop-Tarts Gone Nutty! in the first year after introduction but expects that 70 percent of those sales will come from buyers who would normally purchase existing Pop-Tart flavors (that is, cannibalized sales). Assuming the sales of regular Pop-Tarts are normally 290 million packages per year and that the company will incur an increase in fixed costs of $470,000 during the first year to launch Gone Nutty!, will the new product be profitable for the company? Hint: See the Financial Analysis of Marketing Tactics section of Appendix 3 Marketing by the Numbers in your textbook. Determine the unit contributions and the loss for every package cannibalized from the original product. (Round to the nearest cent.) Original Pop-Tarts Pop-Tarts Gone Nutty! Unit contribution $ 0.95 $ 0.85 Loss for every package cannibalized $ 0.10 Contribution lost due to cannibalization is $-420,000 (Round to the nearest dollar.) Contribution due to net new volume is $ 1,530,000 (Round to the nearest dollar.) The increase in total contribution is $ (Round to the nearest dollar.)