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Ceradyne Interiors, an interior design company, has experienced a drop in business due to an increase in interest rates and a corresponding slowdown in remodeling

Ceradyne Interiors, an interior design company, has experienced a drop in business due to an increase in interest rates and a corresponding slowdown in remodeling projects. To stimulate business, the company is considering exhibiting at the Middleton Home and Garden Expo. The exhibit will cost the company $15,020 for space. At the show, Ceradyne Interiors will present a slide show on a laptop, pass out brochures that were printed previously (the company printed more than needed), and show its portfolio of previous jobs. The company estimates that revenue will increase by $39,830 over the next year as a result of the exhibit. For the previous year, profit was as follows:

Revenue $211,176
Less:
Design supplies $18,149
Salary of Samantha Spade (owner) 82,521
Salary of Kim Bridesdale (full-time employee) 55,793
Rent 18,920
Utilities 6,630
Depreciation of office equipment 3,700
Printing of advertising materials 796
Advertising in Middleton Journal 2,950
Travel expenses other than depreciation of autos 3,030
Depreciation of company cars 10,720 203,209
Net income $7,967

Assume that design supplies and travel other than depreciation are variable costs. Calculate the impact of the exhibit on company profit. (Round intermediate calculations to 4 decimal places, e.g. 0.3215 and final answer to 0 decimal places, e.g. 125.)

Company profit will select an option increasedecrease by enter a dollar amount

Should the company exhibit at the home show?

The company select an option should notshould exhibit at the home show.

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