Exercise 6-5 (Algo) Changes in Variable Costs, Fixed Costs, Selling Price, and Volume (L06-4) [The following information applies to the questions displayed below.) Data for Hermann Corporation are shown below: Percent Per Unit of Sales Selling price $ 60 1000 Variable expensen 39 65 Contribution margin $ 21 354 Fixed expenses are $72,000 per month and the company is selling 4,200 units per month, Exercise 6-5 (Algo) Part 2 2-a, Refer to the original data. How much will net operating income increase (decrease) per month if the company uses higher-quality components that increase the variable expense by $4 per unit and increase unit sales by 25%. 2-6. Should the higher-quality components be used? Answer is complete but not entirely correct. 2-a. Refer to the original data. How much will net operating income increase (decrease) per month if the company uses higher-quality components that increase the variable expense by $4 per unit and increase unit sales by 25%. 2-6. Should the higher-quality components be used? Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Req 2A Reg 28 Refer to the original data. How much will net operating income increase (decrease) per month if the company uses higher- quality components that increase the variable expense by $4 per unit and increase unit sales by 25%. Net operating income decreases 75,000 RA Req 28 >