Question: Data for Hermann Corporation are shown below: Per Unit $ 85 51 Selling price Variable expenses Contribution margin Percent of Sales 100% 60 40% $

 Data for Hermann Corporation are shown below: Per Unit $ 85
51 Selling price Variable expenses Contribution margin Percent of Sales 100% 60
40% $ 34 Fixed expenses are $77,000 per month and the company

Data for Hermann Corporation are shown below: Per Unit $ 85 51 Selling price Variable expenses Contribution margin Percent of Sales 100% 60 40% $ 34 Fixed expenses are $77,000 per month and the company is selling 2,600 units per month Required: 1-a. How much will net operating income increase (decrease) per month of the monthly advertising budget increases by $8.200, the monthly sales volume increases by 100 units, and the total monthly sales increase by $8,500? 1-5. Should the advertising budget be increased? Activate Window How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $8,200, the monthly sales volume increases by 100 units, and the total monthly sales increase by $8,5007 (Do not round Intermediate calculations.) Net operating income by Should the advertising budget be increased? OYes O No

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