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4 Part 2 of 2 Required information Exercise 5-5 (Algo) Changes in Variable Costs, Fixed Costs, Selling Price, and Volume (L05-4) [The following information applies to the questions displayed below) Data for Hermann Corporation are shown below. 10 points eBook Selling price Variable expenses Contribution margin Percent of Sales 100% 60 Per Unit $ 130 78 $ 52 Hint Print References Fixed expenses are $86,000 per month and the company is selling 2,800 units per month Exercise 5-5 (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 56 per unit and increase unit sales by 15% 2-b. Should the higher quality components be used? Me Graw 4 Exercise 5-5 (Algo) Part 2 Part 2 of 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 S6 per unit and increase unit sales by 15%. 2-b. Should the higher-quality components be used? 10 points Complete this question by entering your answers in the tabs below. eBook Hint Reg 2 Reg 28 Print References 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% Net operating income by Reg 28 4 Exercise 5-5 (Algo) Part 2 Part 2 of 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 S6 per unit and increase unit sales by 15% 2-b. Should the higher-quality components be used? 10 points Complete this question by entering your answers in the tabs below. eBook Hint Reg 2A Reg 28 Print Should the higher-quality components be used? References Ores No