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4 Part 1 of 2 0.62 points Required information Exercise 6-5 Changes in Variable Costs, Fixed Costs, Selling Price, and Volume (LO6-4) (The following information

4 Part 1 of 2 0.62 points Required information Exercise 6-5 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: Book Percent Per Unit of Sales Selling price Variable expenses Contribution margin 63 $27 100% 70 308 Hind 14 Print References Fixed expenses are $30,000 per month and the company is selling 2,000 units per month. Exercise 6-5 Part 1 Required: 1-a. How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $5,000 and monthly sales increase by $9,000? 1-b. Should the advertising budget be increased? Complete this question by entering your answers in the tabs below. Req LA Req 10 How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $5,000 and monthly sales increase by $9,000? Net operating income 1A Reg18 >

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