Question: Data for Hermann Corporation are shown below: Selling price Variable expenses Contribution margin Per Unit $ 70 49 $ 21 Percent o Sales 100% 70

Data for Hermann Corporation are shown below: Selling price Variable expenses

Data for Hermann Corporation are shown below: Selling price Variable expenses Contribution margin Per Unit $ 70 49 $ 21 Percent o Sales 100% 70 30% Fixed expenses are $74,000 per month and the company is selling 4,400 units per month. Required 1-a. The marketing manager argues that a $9,800 increase in the monthly advertising budget would increase monthly sales by $24,000. Calculate the increase or decrease in net operating income. 1-b. Should the advertising budget be increased? would the advertising budget be Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Req 1A Req 1B The marketing manager argues that a $9,800 increase in the monthly advertising budget would increase monthly sales by $24,000. Calculate the increase or decrease in net operating income. (Do not round intermediate calculations.) et operating decreases by 2,940

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