Data concerning Runnells Corporation's single and sells a product. Data concerning that product appear below:
Percent of Sales
company is currently selling 5,700 units per month. Fixed expenses are
$342,500 per month. The marketing manager believes that a $6,700
increase in the monthly advertising budget would result in a 120 unit
increase in monthly sales. What should be the overall effect on the
company's monthly net operating income of this change?