Question 34 Henderson Farms reports the following results for the month of November: Sales (10,000 units) $600,000 Variable costs Contribution margin 180,000 Fixed costs Net income 420,000 110,000 $ 70,000 Management is considering the following independent courses of action to increase net income. I. Increase selling price by 5% with no change in total variable costs. 2. Reduce variable costs to 66 2/3% of sales. 3. Reduce fixed costs by $10,000 Calculate net income for the above courses of action. Course Net Income 1. Increase selling price 2. Reduce variable cost 3. Reduce fixed cost