Exercise 6-5 (Algo) Changes in Variable Costs, Fixed Costs, Selling Price, and Volume [LO6-4] [The following information applies to the questions displayed below] Data for Hermann Corporation are shown below: Percent Per Unit of Sales Selling price Variable expenses Contribution margin $140 91 $ 49 100% 65 35% Fixed expenses are $88,000 per month and the company is selling 3,000 units per month. Exercise 6-5 (Algo) Part 1 Required: 1-a. How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $9,300, the monthly sales volume increases by 100 units, and the total monthly sales increase by $14,000? 1-b. Should the advertising budget be increased?