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The following information applies to the questions displayed below) Part 2012 Data for Hermann Corporation are shown below. 5 points Selling price Variable expenses Contribution

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The following information applies to the questions displayed below) Part 2012 Data for Hermann Corporation are shown below. 5 points Selling price Variable expenses Contribution margin Per Unit $90 63 Percent of Sales 100X 70 30% $ 27 8 00:26:04 Swood Fixed expenses are $78,000 per month and the company is seling 3,500 units per month co 2-a. 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 $4 per unit and increase unit sales by 20% 2 b. Should the higher quality components be used? Print References Complete this question by entering your answers in the tabs below. Reg 2A Red 28 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 $4 per unit and increase unit sales by 20% Net operating income Mc 3 Selling price Variable expenses Contribution margin Per Unit $ 90 63 $ 27 Percent of Sales 100% 70 30% Part 2 of 2 Fixed expenses are $78,000 per month and the company is selling 3.500 units per month points 00:25:40 Spped 2-a, 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 $4 per unit and increase unit sales by 20% 2-6. Should the higher quality components be used? Complete this question by entering your answers in the tabs below. Red 2A Reg 28 Should the higher quality components be used Yes ON

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