Data for Hermann Corporation are shown below: Percent of Selling price Per Unit $ 95 Variable expenses 57 Sales 100% 60 Contribution margin $ 38 40% Fixed expenses are $79,000 per month and the company is selling 3,600 units per month. Exercise 5-5 Part 2 2-a. Refer to the original data. How much will net operating income increase (decrease) per month if the company uses higher-quality components that increase the variable expense by $3 per unit and increase unit sales by 10%. 2-b. Should the higher-quality components be used? Complete this question by entering your answers in the tabs below. Req 2A Req 2B 1-0 SHOUJO THIS TRUDEL-QuanV COLLIDOLPHIS DE Useus Required information Complete this question by entering your answers in the lads Delow. Req 2A Req 2B Refer to the original data. How much will net operating income increase (decrease) per month if the company uses higher- quality components that increase the variable expense by $3 per unit and increase unit sales by 10%. Net operating income by < Req 2A Req 2B > Exercise 5-5 Changes in Variable Costs, Fixed Costs, Selling Price, and Volume [LO5-4] [The following information applies to the questions displayed below.] Data for Hermann Corporation are shown below: Selling price Variable expenses Contribution margin Per Unit $ 95 57 $ 38 Percent of Sales 100% 60 40% Fixed expenses are $79,000 per month and the company is selling 3,600 units per month. Exercise 5-5 Part 1 Required: 1-a. How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $8,400 and monthly sales increase by $17,100? 1-b. Should the advertising budget be increased? Required information 10. HOW MUCH Wilniet operating income increase (accrease) per monumune monthly advertising pauychinencased by 20,700 and monthly sales increase by $17,100? 1-b. Should the advertising budget be increased? Complete this question by entering your answers in the tabs below. Req 1A Req 1B How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $8,400 and monthly sales increase by $17,100? (Round any unit calculations up to the nearest whole unit.) Net operating income by < Req 1A Req 1B >