Handley 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 $14,870 for space. At the show, Handley 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 $40,010 over the next year as a result of the exhibit. For the previous year, profit was as follows:

Revenue $212,519

Less:

Design supplies $17,995

Salary of Samantha Spade (owner) 81,672

Salary of Kim Bridesdale (full-time employee) 56,487

Rent 19,101

Utilities 6,390

Depreciation of office equipment 4,160

Printing of advertising materials 851

Advertising inMiddleton Journal 2,810

Travel expenses other than depreciation of autos 3,220

Depreciation of company cars 10,090 202,776

Net income$9,743

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 willdecrease or increase

by

$?

Should the company exhibit at the home show?

The companyshould not or should exhibit at the home show.