Pharoan, increports the folowing operating results for August: Sale $400,000 units 5,200 variatie costs 200,000, and mixed costs $119,600. Management is considering the following independent courses of action to increase net income. 1. Increase the selling price by 10%. 2. Reduce variable costs to 55% of sales. 3. Reduce fixed costs by $17,000. Compute the net income to be earned under each alternative. 1. Increase selling price 2. Reduce variable costs 3. Reduce fixed costs $ Net Income: Which course of action will produce the highest net income? will produce higest net income