Wildhorse Farms reports the following results for the month of November: Sales (10,500 units) $661,500 Variable costs 462,000 Contribution margin 199,500 115,500 Fixed costs Net income $ 84,000 Management is considering the following independent courses of action to increase net income. 1. Increase selling price by 5% with no change in total variable costs. 2. Reduce variable costs to 66% of sales. I 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 $ If maximizing net income is the objective, which is the best course of action? Best course of action is