Sheridan Company Report the following of operating results for the month of August cells $375,000(5000$ units$),$ variable cost $$248,000$ and fix cost $$97,000$ management is considering the following independent courses of action to increase net income.

$1.$ Increase the unit selling price by $16\%$ with no change in total variable cost, fixed cost or unit sold.

$2.$ Reduce variable cost to $57\%$ of sales while holding fixed cost, quantity and unit selling price constant

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