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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 sold 15,800 and 2,120 units, respectively. The company's most recent financial statements are shown below: (Do not round intermediate calculations.) Case Goods $1,684,000 Upholstery $424,000 Sales Less cost of goods sold: Unit-level production cost Depreciation, production equipment Gross margin Less operating expenses: Unit-level selling and administrative costs Corporate-level facility expenses (fixed) Net income (loss) 1,052,000 252,000 s 380,000 254,400 63,600 $106,000 63,200 56,000 $ 260,800 53,000 56,000 $ (3,000) If unit sales for both divisions increased 10%, the company would report which of the following? Multiple Choice A $56,000 increase in net income for the Upholstery Division O A 10% increase in total net income of the company A decline in profit for the Upholstery Division O A net income for the Upholstery Division of $8,660