Suppose in its income statement for the year ended June 30, 2022, The Clorox Company reported the following condensed data (dollars in millions).

Salaries and wages expenses		$ 449		Research and development expense		$ 109
Depreciation expense		90		Income tax expense		275
Sales revenue		5,619		Loss on disposal of plant assets		46
Interest expense		156		Cost of goods sold		3,060
Advertising expense		489		Rent expense		102
Sales returns and allowances		266		Utilities expense		57

Assume the marketing department has presented a plan to increase advertising expenses by $326 million. It expects this plan to result in an increase in both net sales and cost of goods sold of 25%. Assume a tax rate of 20%. (Hint: Increase both sales revenue and sales returns and allowances by 25%.) a. Prepare a multiple-step income statement. (Round answers to 0 decimal places, e.g. 15,222.)

b. Calculate the gross profit rate and the profit margin. (Round answers to 1 decimal place, e.g. 15.2%.)

Gross profit rate		enter gross profit rate in percentages rounded to 1 decimal place	%
Profit margin		enter profit margin in percentages rounded to 1 decimal place	%