A company currently has sales of $700,000 and a contribution margin ratio of 45%. As a result of increasing advertising expense by $8,000, the company expects to increase sales to $735,000. If this is done and these results occur, net operating income will O decrease by $8,000 O decrease by $12,250 increase by $7,750 O increase by $15,750

A company currently has sales of $700,000 and a contribution margin ratio of 45%. As a result of increasing advertising expense by $8,000, the compony expects to increose sales to $735,000 if this is done and these results occur, net operating income will decrease by 58,000 decrease by $12.250 Increase by 57750 Increase by $15750