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Required information [The following information applies to the questions displayed below.) Data for Hermann Corporation are shown below: Percent Per Unit of Sales Selling price

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Required information [The following information applies to the questions displayed below.) Data for Hermann Corporation are shown below: Percent Per Unit of Sales Selling price $ 90 1000 Variable expenses 63 70 Contribution margin $ 22 300 Fixed expenses are $30,000 per month and the company is selling 2,000 units per month 2-a. Refer to the original data. How much will net operating income increase (decrease) per month if the company uses high components that increase the variable expense by $2 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. Reg 2A Reg 28 Refer to the oricinal data. How much will net operatina income increase (decrease) per month if the company uses higher 2-a. Refer to the original data. How much will net operating income increase (decrease) per month if the company uses higher quali components that increase the variable expense by $2 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. Reg 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 $2 per unit and increase unit sales by 10% Net operating income Res 2 Req 28 > by Fixed expenses are $30,000 per month and the company is selling 2,000 units per month. 2-a, Refer to the original data. How much will net operating income increase (decrease) per month if the compan components that increase the variable expense by $2 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. OK Reg 2A Req 28 Should the higher-quality components be used? int onces Yes ONO

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