A company makes a product that sells for $40 per unit. Variable expenses are $20.00 per unit, and fixed expenses total $180,000 per year. Its operating results for last year were as follows: Sales Variable expenses Contribution margin Fixed expenses Net operating income $1,040,000 520,000 520,000 180,000 $ 340,000 The company president wants to add new features to the product, which will increase the variable expenses by $1.70 per unit. She thinks that the new features, combined with some increase in marketing spending, would increase this year's sales by 25%. How much could the president increase this year's fixed marketing expense and still earn the same $340,000 net operating income as last year? Multiple Choice $74,750 O $134,550 $59,800 O O $112,125