P11-23 similar to Net cash flows for a marketing...

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P11-23 (similar to) Net cash flows for a marketing campaign Marcus Tube, a manufacturer of high-quality aluminum tubing, has maintained stable sales and profits over the past 10 years. Although the market for aluminum tubing has been expanding by 5% per year. Marcus has been unsuccessful in sharing this growth To increase its sales, the firm is considering an aggressive marketing campaign that centers on regularly running ads in all relevant trade journals and exhibiting products at all major regional and national trade shows. The campaign is expected to require an annual tax- deductible expenditure of 141.000 over the next 5 years. Sales revenue, as shown in the income statement for 2018 totaled $19.500.000. If the proposed marketing campaign is not initiated sales are expected to remain at this level in each of the next 5 years, 2019 through 2023. With the marketing campaign, sales are expected to rise to the levels shown in the table for each of the next 5 years, cost of goods sold is

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