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Kokomochi is considering the launch of an advertising campaign for its latest dessert product, the Mini Mochi Munch. Kokomochi plans to spend $ 5 .

Kokomochi is considering the launch of an advertising campaign for its latest dessert product, the Mini Mochi Munch. Kokomochi plans to spend $5.2 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 $8.9 million this year and $6.9 million 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 $1.6 million each year.
Kokomochi's gross profit margin for the Mini Mochi Munch is 35%, and its gross profit margin averages 22% for all other products. The company's marginal corporate tax rate is 21% both this year and next year. What are the incremental earnings associated with the advertising campaign?
Complete the table below: (Round to the nearest dollar.)
\table[[Incremental Earnings Forecast,,ear 1,,],[Sales of Mini Mochi Munch,$,8900000,$,],[Other Sales,,,,],[Cost of Goods Sold,1+,,,],[Gross Profit,$,,$,],[Selling, General, and Admin. Exp,,,,],[Depreciation,,0,,0],[EBIT,$,,$,],[Income tax at 21%,,,,],[Unlevered Net Income,$,,$,]]
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