The 2019 income statement for Zed Corporation Units produced and sold 6.000 Sales Less: Variable expenses Total contribution margin Les Fored Expenses Net income Total dollars Per unit Percent $ 1.500.000 $ 250 100% 900.000 150 60% 600.000 $ 100 .500.000 5.100.000 The company is consi ing two different marketing strategies to improve profits. Alternative 1: Maintain the original advertising budget included in fixed costs) but reduce the sales price by 520 per unit. It is estimated that sales volume will increase by 60% Alternative 2: Referring to the original data, the company would maintain the original sales price but increase the advertising budget by 560.000 and spend an additional $150,000 on research and development (foed cost) to add some exciting new features to its product. The company would also spend 58 more per unit on attractive packaging. The sales volume is expected to increase to 10,000 units Required: A Compute the expected net income under each of the 2 alternatives described above. (8 marks) . Which one of the alternatives should the company choose? (1 mark) C Which one of the alternatives is morensky? Explain. (2 marks)