Q 19.42: This is the current income statement for Joe's Luggage. 700,000 360,000 340,000 Sales ($350 per unit) Less: Cost of gods sold ($180 per unit) Gross profit Less: Operating expenses Administrative costs Depreciation Shipping ($2.50 per unit) Net income 125,000 90,000 5.000 220,000 120,000 Calculate Joe's new net income if unit variable costs increase by 20% but fixed costs, quantities, and unit selling price remain the same. A $47,000 B $17,100 $35,000 $48,500