Data concerning Runnells Corporation's single and sells a product. Data co cerning that product appear below:
|
Per Unit |
Percent of Sales |
| Selling price |
$150 |
100% |
| Variable expenses |
75
|
50%
|
| Contribution margin |
$ 75
|
50%
|
The company is currently selling 4,800 units per month. Fixed expenses are $302,600 per month. The marketing manager believes that a $7,200 increase in the monthly advertising budget would result in a 210 unit increase in monthly sales. What should be the overall effect on the company's monthly net operating income of this change?