Question: Data for Hermann Corporation are shown below: Per Unit Percent of Sales Selling price $ 95 100% Variable expenses 57 60 Contribution margin $ 38

Data for Hermann Corporation are shown below: Per Unit Percent of Sales Selling price $ 95 100% 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

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