Assume that Andretti Company has sufficient capacity to produce 113,400 Daks each year without any increase in fixed manufacturing overhead costs. The company could increase its sales by 35% above the present 84,000 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 INCOME: