Required:

1-a. How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $9,900 and monthly sales increase by $24,500?

1-b. Should the advertising budget be increased? (Yes/No)?

Required information [The following information applies to the questions displayed below.] Data for Hermann Corporation are shown below: Percent of Sales 100% 68 32% Per Unit $ 75 51 $ 24 Selling price Variable expenses Contribution margin Fixed expenses are $75,000 per month and the company is selling 4,000 units per month Required 1-a. How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $9,900 and monthly sales increase by $24,500? 1-b. Should the advertising budget be increased? Complete this question by entering your answers in the tabs below Req 1A Req 1B How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $9,900 and monthly sales increase by $24,500? (Do not round intermediate calculations.) Net operating income Req 1A Req 1B >