Question: please solve for year 2 also Kom is considering en gang for its for the company to posto in pong you the boost of the

Kom is considering en gang for its for the company to posto in pong you the boost of the Miri Moch Munch by 5110 dispered 1904 rent years of recomes when they were sales of the products are expected to see you Kokamoch's gross profil mange for the Miss Moch Munch 4% and gross protegia 2 The company and current and out what we were wewnings asisted with the avance Nota. Ale at the company has deguate pesteve come to take two of the box benets proved by yetersom de Carol Calculate the increment en tot year round to recome Year incrementar Forectition Sales of Michi Minh Other Sales Cost of Good Son Gruss Pro Seling. Genes and Artve Deprecation Income Tax at 35% Increasing 5 5 5 5 5 3 5 5 Kokomochi is considering the launch of an advertising campaign for its latest dessert product, the Mini Mochi Munch. Kokomochi plans to spend $5.45 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 $11.04 million this year and $9.04 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 $3.23 million each year. Kokomochi's gross profit margin for the Mini Mochi Munch is 34%, and its gross profit margin averages 25% for all other products. The company's marginal corporate tax rate is 35% both this year and next year. What are the incremental earnings associated with the advertising campaign? Note: Assume that the company has adequate positive income to take advantage of the tax benefits provided by any net losses associated with this campaign. Calculate the incremental earnings for year 1 below: (Round to three decimal places.) Year 1 Incremental Earnings Forecast ($ million) Sales of Mini Mochi Munch Other Sales Cost of Goods Sold Gross Profit Selling, General, and Administrative Depreciation $ $ $ $ $ $ EBIT Income Tax at 35% Year 1 Incremental Earnings Forecast ($ million) Sales of Mini Mochi Munch $ Other Sales $ Cost of Goods Sold $ A A A Gross Profit $ Selling, General, and Administrative $ Depreciation $ EBIT $ $ Income Tax at 35% $ Incremental Earnings $
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