Birchfield Company reports the following operating results for the month of February: sales $930,000 (units 15,500); variable costs $474,300; and fixed costs $189,400. Management is considering the following independent courses of action to increase net income. 1. Increase selling price by 2.6% with no change in total variable costs or units sold. 2. Reduce variable costs to 47.80% of sales. (a) Compute the net income to be earned under each alternative. (Round per unit calculations to 2 decimal places, e.g. 15.25 and final answers to O decimal places, e.g. 125.) Alternative #1 Alternative #2 Net Income $ Which course of action will produce the highest net income? I will produce the highest net income