PEM, Incorporated, is experiencing financial difficulty due to erratic sales of its only product, a high-capacity battery for laptop computers. The companys contribution format income statement for the most recent month is given below: Sales (13,100 units $30 per unit) $ 393,000 Variable expenses 196,500 Contribution margin 196,500 Fixed expenses 219,000 Net operating loss $ (22,500) Required: Compute the companys CM ratio and its break-even point in unit sales and dollar sales. The president believes a $6,500 increase in the monthly advertising budget, combined with an intensified effort by the sales staff, will increase unit sales and the total sales by $80,000 per month. If the president is right, what will be the increase (decrease) in the companys