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Wrobbel Corporation produces and sells a single product. Data concerning that product appear below. Selling price Variable expenses Contribution margin Per Unit Percent of

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Wrobbel Corporation produces and sells a single product. Data concerning that product appear below. Selling price Variable expenses Contribution margin Per Unit Percent of Sales $150 100% FC=307,00 90 60% plan to sell 6,000m $60 40% Management is considering using a new component that would increase the unit variable cost by $2. Since the new component would improve the company's product, the marketing manager predicts that monthly sales would increase by 200 units. What should be the overall effect on the company's monthly net operating income of this change if fixed expenses are unaffected? Show your work!

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