Wrobbel Corporation produces and sells a single product. Data concerning that product appear below:

Per Unit Percent of Sales Selling price $ 260 100 %

Variable expenses 39 15 %

Contribution margin $ 221 85 %

Fixed expenses are $180,000 per month.

The company is currently selling 1,700 units per month.

Management is considering using a new component that would increase the unit variable cost by $45.

Since the new component would improve the company's product, the marketing manager predicts that monthly sales would increase by 400 units.

Required:

What should be the overall effect on the company's monthly net operating income of this change if fixed expenses are unaffected? (Negative amount should be indicated by a minus sign.)

Change in Net Operating Income: