On December 31, Hawkin's records show the following accounts. Equipment $4,500
Cash 2,400
Rent Expense 3,000
Accounts Receivable 2,100
Services Revenue 17,500
Accounts Payable 7,500
Wages Expense 8,000
Utilities Expense 2,200

Required:
Use the above information to prepare a December income statement for Hawkin.

Required: 1-a. the marketing manager argues that a $5,000 increase in the monthly advertising budget would increase monthly sales by $9,000. calculate the increase or decrease in net operating income. 1-b. should the advertising budget be increased ? yes no hintsreferencesebook & resources hint #1 check my work 8.value: 1.00 pointsrequired information 2-a. refer to the original data. management is considering using higher-quality components that would increase the variable expense by $2 per unit. the marketing manager believes that the higher-quality product would increase sales by 10% per month. calculate the change in total contribution margin. 2-b. should the higher-quality components be used? yes no