Andretti Company has a single product called a Dak. The company normally produces and sells 87,000 Daks each year at a selling price of $48 per unit. The company's unit costs at this level of activity are given below: $ 7.50 Direct materials Direct labor Vari able manufacturing overhead Fixed manufacturing overhead Variable selling expenses Fixed selling expenses 9.00 3.50 8.00 ($696,000 total) 3.70 5.50 ($478,500 total) Total cost per unit $ 37.20 A number of questions relating to the production and sale of Daks follow. Each question is independent. Required 1-a. Assume that Andretti Company has sufficient capacity to produce 108,750 Daks each year without any increase in fixed manufacturing overhead costs. The company could increase its sales by 25% above the present 87,000 units each year if it were willing to increase the fixed selling expenses by $140,000. Calculate the incremental net operating income. (Round all dollar amounts to 2 decimal places.) Increased sales in units Contribution margin per unit Incremental contribution margin Less added fixed selling expense Incremental net operating incom