Hobby cat toy company has estimated the following amounts for its next fiscal year: if the company spends an additional $34,000 on advertising, sales volume would increase by 2,900 units. what effect will this decision have on the operating income?

total fixed expenses $833,500

sales price per unit 40

variable expenses per unit 25

a) operating income will decrease by $72,500 (b) operaing income will increase by 9,500 (c) operating income will increase by 116,000 (d) operating income will increase by $43,500