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Data for Hermann Corporation are shown below: Fixed expenses are $ 7 7 , 0 0 0 per month and the company is selling 2

Data for Hermann Corporation are shown below:
Fixed expenses are $77,000 per month and the company is selling 2,600 units per month.
Required:
1-a. How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $8,200, the
monthly sales volume increases by 100 units, and the total monthly sales increase by $8,500?
1-b. Should the advertising budget be increased?
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