Blossom Company reports the following operating results for the month of August: sales $384,000 (4,800 units), variable costs $244,000, and fixed costs $91,000. Management is considering the following independent courses of action to increase net income. 1. Increase the unit selling price by 15% with no change in total variable costs, fixed costs, or units sold. Reduce variable costs to 55% of sales while holding fixed costs, quantity, and unit selling price constant. 2. Compute the net income to be earned under each alternative. 1. Net income $ 2. Net income Which course of action will produce the higher net income? e Textbook and Media