1. 2. 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 $ 75 51 100% 60% Contribution margin $ 24 32% Fixed expenses are $75,000 per month and the company is selling 4,000 units per month. value 2.50 points Required: 1-a. The marketing manager argues that a $9,900 increase in the monthly advertising budget would increase monthly sales by $24,500. Calculate the increase or decrease in net operating income. Net operating income by 1-6. Should the advertising budget be increased? Yes No valu References eBook & Resources Worksheet 2.50 points Difficulty: 1 Easy Learning Objective: 03-04 Show the effects on net operating income of changes in variable costs, fixed costs, selling price, and 2-a. Refer to the original data. Management is considering using higher-quality components that would increase the variable expense by $4 per unit. The marketing manager believes that the higher-quality product would increase sales by 25% per month. Calculate the change in total contribution margin. Total contribution margin by