Question: answer all please. Also show steps. Kokomochi is considering the launch of an advertsing campaign for its latest dessert product, the Mini Mochi Murch. Kokomochl
Kokomochi is considering the launch of an advertsing campaign for its latest dessert product, the Mini Mochi Murch. Kokomochl plans to spend 55 os million on TVi radio, and print adveriting this year for the campaign. The ads afe expected to beost sales of the Mini Mochi Munch by $11.15 millon this year and $9.15 million next year. In addifion, the company expects that new consumben who try the Mini Mochi Munch wit be more likoly to ty Kokomochs other products. As a result, sales of ceter products are expected to rise by $3.23 million each year Kokomochirs gross proff margin for the Mini Mochi Munch is 34%, and its gross profit margin averages 24% for all other products. The company's margnal corporate tax rave is 305 beth ins year and noxt year. What are the incremental eamings associsted with the advertsing campoign? Note: Assume that the company has adequate positive income to take advantape of the tax benofts provided by any net losses associated with this campaign Calculate the incremental eamings for year 1 below: (Round to three decimal places.)
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