[The following information applies to the questions displayed below.] Data for Hermann Corporation are shown below: Perc

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The Following Information Applies To The Questions Displayed Below Data For Hermann Corporation Are Shown Below Perc 1 (352.68 KiB) Viewed 13 times

[The following information applies to the questions displayed below.] Data for Hermann Corporation are shown below: Percent Per Unit of Sales $95 Selling price 100% Variable expenses 57 60 Contribution margin $38 40% Fixed expenses are $79,000 per month and the company is selling 3,600 units per month. Required: 1-a. How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $8,400, the monthly sales volume increases by 100 units, and the total monthly sales increase by $9,500? 1-b. Should the advertising budget be increased? Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $8,400, the monthly sales volume increases by 100 units, and the total monthly sales increase by $9,500? (Do not round intermediate calculations.) Net operating income by