Question 1 Herman's income statement is as follows: Sales (5,000 units) $75,000 Less variable costs (24,000) Contribution margin $51,000 Less fixed costs (12,000) Net income $39,000 If sales increase by 1,000 units, profits will: Increase by $10.200 Increase by $12,000 Increase by $2,400 Increase by $5,000 None of these answers is correct