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Required information [The following information applies to the questions displayed below.) Data for Hermann Corporation are shown below. Percent of Per Unit 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 of Per Unit Sales Selling price $ 105 1eex Variable expenses 60 Contribution margin $ 42 46% 63 Fixed expenses are $81,000 per month and the company is selling 3,800 units per month Required: 1-0. How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $8,600 and monthly sales increase by $18,900? 1-b. Should the advertising budget be increased? Complete this question by entering your answers in the tabs below. Reg 1A Reg 16 How much will net operating income increase (decrease) per month if the monthly advertising budget increases by $8.600 and monthly sales increase by $18,9007 (Round any unit calculations up to the nearest whole unit.) Not operating income by Reg 1B > Req 1A Ret 18 Should the advertising budget be increased? OYes ONO

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