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please complete all parts Question Help . Kokomochi is considering the launch of an advertising campaign for its latest dessert product, the Mini Mochi Munch.

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Question Help . Kokomochi is considering the launch of an advertising campaign for its latest dessert product, the Mini Mochi Munch. Kokomochi plans to spend $3.45 milion on TV, radio, and print advertising this year for the campaign. The ads are expected to boost sales of the Mini Moch Munch by $11.39 milion this year and $9.39 milion next year. In addition the company expects that new consumers who try the Mini Mochi Munch wil be more likely to try Kokomochi's other products. As a result, sales of other products are expected to rise by $3.55 million each year Kokomochi's gross profit margin for the Mini Moche Munch is 33%, and its gross profit margin averages 255 for all other products. The company's marginal corporate tax rate is 33% both this year and next year. What are the incremental camings associated with the advertising campaign? Note: Assume that the company has adequate positive income to take advantage of the tax benefits provided by any net losses associated with this campaign Calculate the incremental earnings for year 1 below. (Round to three decimal places) Year 1 s $ 5 $ Incremental Eamings Forecast (milion) Sales of Mini Mochi Munch Other Sales Cost of Goods Sold Gross Profit Selling, General and Administrative Depreciation EBIT Income Tax at 33% Incremental Earrings $ $ $ $

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