Question: O Required Information Exercise 6-5 (Algo) Changes in Variable Costs, Fixed Costs, Selling Price, and Volume (LO6- 4) [The following information applies to the questions

 O Required Information 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: Selling
price Variable expenses Contribution margin Percent Por Unit of Sales S 130

O Required Information 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: Selling price Variable expenses Contribution margin Percent Por Unit of Sales S 130 1008 70 50 $ 52 400 Fixed expenses are $86,000 per month and the company is selling 2,800 units per month Check my work 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 $9,100, the monthly sales volume Increases by 100 units, and the total monthly sales increase by $13,000? 1-6. Should the advertising budget be increased? Complete this question by entering your answers in the tabs below. Reg 1A Reg 13 How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $9,100, the monthly sales volume increases by 100 units, and the total monthly sales increase by $13,000? (Do not round Intermediate calculations.) Not operating income by Required information Required: 1-a. How much will het operating income increase (decrease) per month If the monthly advertising budget increases by $9,100, the monthly sales volume increases by 100 units, and the total monthly sales increase by $13,000? 1-6. Should the advertising budget be increased? Complete this question by entering your answers in the tabs below. Reg 1A Reg 1B Should the advertising budget be increased Yes NO Reg 1A 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 $6 per unit and increase unit sales by 15%. 2.b. Should the higher quality components be used? Complete this question by entering your answers in the tabs below. Red 2A Reg 28 Refer to the original dato. How much will net operating income increase (decrease) per month if the company uses higher quality components that increase the variable expense by $6 per unit and increase unit sales by 15% Net operating income by Raq 28 >

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