RichettiInteriors, 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 $14,920for space. At the show,RichettiInteriors 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 $39,940over the next year as a result of the exhibit. For the previous year, profit was as follows:

Revenue: $212,138

Less:

Design supplies $17,919

Salary of Samantha Spade (owner) 81,942

Salary of Kim Bridesdale (full-time employee) 56,039

Rent 19,034

Utilities 6,900

Depreciation of office equipment 4,330

Printing of advertising materials 785

Advertising inMiddleton Journal 2,850

Travel expenses other than depreciation of autos 3,130

Depreciation of company cars 10,920 203,849

Net income $8,289

Assume that design supplies and travel other than depreciation are variable costs.

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 will (select an option)increase or decreaseby______enter a dollar amount

Should the company exhibit at the home show?

The company(select an option)should or should not exhibit at the home show.