Required information

$[$The following information applies to the questions displayed below.$]$

Data for Hermann Corporation are shown below:

Fixed expenses are $$76,000$ per month and the company is selling $2,500$ units per

month.

Required:

$1-$a$.$ How much will net operating income increase $($decrease$)$ per month if the monthly advertising budget

increases by $$8,100,$ the monthly sales volume increases by $100$ units, and the total monthly sales increase

by $$8,000?$

$1-b.$ Should the advertising budget be increased?

Complete this question by entering your answers in the tabs below.

How much will net operating income increase $($decrease$)$ per month if the monthly advertising budget increases by $

monthly sales volume increases by $100$ units, and the total monthly sales increase by $$8,000?($Do not round interm

calculations.$)$Required:

$1-$a$.$ How much will net operating income increase $($decrease$)$ per month if the monthly advertising budget increases by $$8,100,$ the monthly sales volume increases by $100$ units, and the total monthly sales increase by $$8,000?$

$1-$b$.$ Should the advertising budget be increased?