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Hancock Company manufactures and sells two lines of furniture, case goods and upholstery. During the most recent accounting period, the Case Goods and Upholstery Divisions

Hancock Company manufactures and sells two lines of furniture, case goods and upholstery. During the most recent accounting period, the Case Goods and Upholstery Divisions sold 17,800 and 2,420 units, respectively. The company's most recent financial statements are shown below: (Do not round intermediate calculations.) Case Goods Upholstery Sales $ 1,894,000 $ 484,000 Less cost of goods sold: Unit-level production cost 1,182,000 290,400 Depreciation, production equipment 282,000 72,600 Gross margin $ 430,000 $ 121,000 Less operating expenses: Unit-level selling and administrative costs 71,200 60,500 Corporate-level facility expenses (fixed) 66,000 66,000 Net income (loss) $ 292,800 $ (5,500 ) If unit sales for both divisions increased 10%, the company would report which of the following?

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