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Required information [The following information applies to the questions displayed below.) Part 1 of 2 Data for Hermann Corporation are shown below: Percent of Sales 100% points Selling price Variable expenses Contribution margin Per Unit $ 105 63 $ 42 60 40% Skipped Fixed expenses are $81,000 per month and the company is selling 3,800 units per month. eBook Hint Required: 1-a. How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $8,600 and monthly sales increase by $18,000? 1-b. Should the advertising budget be increased? Ask Complete this question by entering your answers in the tabs below. Print Req 1A Req 1B References How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $8,600 and monthly sales increase by $18,000? (Do not round intermediate calculations.) Net operating income by ( Reg 1A Req 1B > Required information [The following information applies to the questions displayed below.] Part 1 of 2 Data for Hermann Corporation are shown below: Per Unit $105 Percent of Sales 100% points Selling price Variable expenses Contribution margin 63 60 $ 42 40% Skipped Fixed expenses are $81,000 per month and the company is selling 3,800 units per month. eBook Hint Required: 1-a. How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $8,600 and monthly sales increase by $18,000? 1-b. Should the advertising budget be increased? Ask Complete this question by entering your answers in the tabs below. Print Req 1A Reg 1B References Should the advertising budget be increased? OYes Ono

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