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Runner Interiors, an interior design company, has experienced a drop in business due to an increase in interest rates and a corresponding slowdown in remodeling

Runner Interiors, 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 $14,990 for space. At the show, Runner Interiors 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 $40,020 over the next year as a result of the exhibit. For the previous year, profit was as follows:

Revenue $213,151
Less:
Design supplies $17,922
Salary of Samantha Spade (owner) 81,323
Salary of Kim Bridesdale (full-time employee) 55,550
Rent 18,912
Utilities 6,810
Depreciation of office equipment 3,660
Printing of advertising materials 871
Advertising in Middleton Journal 2,740
Travel expenses other than depreciation of autos 3,140
Depreciation of company cars 10,330 201,258
Net income $11,893

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 Increase or Decrease? By____________

Should the company exhibit at the home show?

The company Should or Should not? exhibit at the home show.

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