Current net operating income
= Total Contribution margin - Fixed cost
= (4,600*28) - 76,000 = 52,800
Projected net operating income
= (4,600+25%)*(28-5) - 76,000
= 56,250
Increase = 56,250 - 52,800
Net operating income increases by $3450
Yes
Data for Hermann Corporation are shown below: Selling price Variable expenses Contribution margin Per Unit $...
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