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Data for Hermann Corporation are shown below: Ter Unit Percent of Bales 100N selling price Variable expenses Contribution margin 44 036 Fixed expenses are $76,000

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Data for Hermann Corporation are shown below: Ter Unit Percent of Bales 100N selling price Variable expenses Contribution margin 44 036 Fixed expenses are $76,000 per month and the company is selling 2,500 units per month 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 $4 per unit and increase unit sales by 20% 2-b. Should the higher quality components be used? Reg 2A Req 28 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 $4 per unit and increase unit sales by 20%. Net operating income Reg 2A Req 2B>

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