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please do it for year 1&2 please complete it for year 1&2 Kokomoch is considering the launch of an in care for store product, the
please do it for year 1&2
please complete it for year 1&2
Kokomoch is considering the launch of an in care for store product, the Mini Moch Munch. Kokomochi plans to spend 547 milion on TV, radio, and print advertising a year for the campaign. The ads are expected to boont sales of the Mooi Murch wy 5103 milionayow and 50 milion rest year in asion, the company expects that new consumers who try Moch Munch wil be more by to by Koromo other products at a resta of other products we expected to by 315 milion each you Kokomocni's gross pro margo for the Mr Woche Munch is and has grown proft margin average for at other prodotta. The company's marginal corporate tax rate a 35% both the year and rest ytat What are the incremental arings associated with a verlang carros Circle to wow Round to the newer) Incremental Earnings Forecast Yeart Son of Mini Moch Munch 1 5 3 Galer, and Drown 1 3 www income Kokomochi is considering the launch of an advertising campaign for its latest dessert product, the Mini Mochi Munch. Kokomochi plans to spend $4.7 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 $10.3 million this year and $8.3 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 $1.5 million each year. Kokomochi's gross profit margin for the Mini Mochi Munch is 39%, and its gross profit margin averages 20% for all other products. The company's marginal corporate tax rate is 35% both this year and next year. What are the incremental earnings associated with the advertising campaign? Year 1 Complete the table below. (Round to the nearest dollar.) Incremental Earnings Forecast Sales Mochi $ Other Sales $ Cost of Goods Sold $ Gross Profit $ Selling, General, and Admin. Expenses $ Depreciation EBIT 0 Income tax at 35% S Unlevered Net Income Step by Step Solution
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