Bossy Company sells a single product. The company normally produces and sells 200,000 units each year at a selling price of $130 per unit. The company's unit cost at this level of activity is given below:

Direct materials	$85.00
Direct labour	25.00
Var. mfg. overhead	5.00
Var. selling expense	2.00
Fixed mfg. overhead	10.00	($2,000,000 total)
Fixed selling expense	2.50	($500,000 total)

Required: The president estimates that the company could increase net income if it reduced unit sales by 10%, increased selling price per unit to $131, decreased direct materials by $1 per unit, increased variable selling expense per unit by $.50 and decreased fixed selling expenses by $60,000.

The company's income tax rate is 25%. Would the changes result in higher net income?