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! Required information [The following information applies to the questions displayed below.] Data for Hermann Corporation are shown below: Selling price 2 Variable expenses

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! Required information [The following information applies to the questions displayed below.] Data for Hermann Corporation are shown below: Selling price 2 Variable expenses Contribution margin Per Unit $ 55 33 Percent of Sales 100% 60 $ 22 40% Fixed expenses are $71,000 per month and the company is selling 4,100 units per month. Required: 1-a. How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $9,500, the monthly sales volume increases by 100 units, and the total monthly sales increase by $5,500?

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