The EV55211 company has provided the following cost, price, and sales data:

	Per Unit
Selling price	$	236
Variable expenses		52
Contribution margin	$	184

The EV55211 company is currently selling 7,600 units per month. Fixed expenses are $884,000 per month.

The marketing manager would like to cut the selling price by $26 and increase advertising spending by $54,000 per month. The marketing manager predicts that these changes would increase monthly sales quantity by 20%. What would be the overall effect on the EV55211 company's monthly net operating income of this change?

(Note: A POSITIVE number indicates an INCREASE in net operating income, and a NEGATIVE number indicates a DECREASE in net operating income)

Multiple Choice

• -15,768 dollars

• -11,440 dollars

• -31,200 dollars

• 3,528 dollars