6. (9 paintsh computations Vera Bradley Inc. reports the following results for the month of June: $1,200,000 800,000 300 00 Sales Revenue (20,000 units) Variable costs Fixed costs 100000 Net income Management of Vera Bradley has been assessing possible course of action and have developed the following independent scenarios to pursue: 1. Reduce variable costs to 63% f sales. 2. Reduce fixed costs by $30,000 3. Increase selling price by 4% with no change in total variable costs. Instructions Vera Bradley woud like to select the scenario that would result in the highest net income. Which scenario would you recommend and why? You must show computations for each one and then state your conclusion. ame Problem 6 9 points ate June Alternative Results 2 3 Reduce Reduce Increase Variable Selling Fixed Costs to Costs Price (Base 63% of Sales by by S30,000 4% Amounts) State conclusion