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Data for Hermann Corporation are shown below Percent of Sales 100% 55 45% Per Unit $ 80 44 $36 Selling price Variable expenses Contribution margin

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Data for Hermann Corporation are shown below Percent of Sales 100% 55 45% Per Unit $ 80 44 $36 Selling price Variable expenses Contribution margin Fixed expenses are $76,000 per month and the company is selling 2500 units per month Exercise 5-5 Part 2 2-a. Refer to the orginal data. How much wil net operating income increase (decrease) per month if the company uses higher-quality components that increase the variable expense by $4 per unit and increase unit sales by 20% 2-0 Should the higher quality components be used? Complete this question by entering your answers in the tabs below. Reg 2 Reg 28 Refer to the original data. How much will net operating income increase (decrease) per month of the company uses higher- quality components that increase the variable expense by $4 per unit and increase unit sales by 20% Het operating income Dy R2 Req 28 )

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