Exercise 19-03 Your answer is partially correct. Try again. Barnes Company reports the following operating results for the month of August: sales $320,000 (units 5,000); variable costs $216,000; and fixed costs $70,500. Management is considering the following independent courses of action to increase net income Compute the net income to be earned under each alternative. 1. Increase selling price by 10% with no change in total variable costs or sales volume. Net income 2. Reduce variable costs to 56% of sales. Net Income 3. Reduce fixed costs by $22,000. Net Income Which course of action will produce the highest net income? Alternative 2 Exercise 19-06 Yard Tools manufactures lawnmowers, weed-trimmers, and chainsaws. Its sales mix and unit contribution margin are as follows Unit Contribution Margin Lawnmowers Sales MB 20 % 50 % 30% Weed-trimmers Chainsaws Yard Tools has fixed costs of $4,410,000. Compute the number of units of each product that Yard Tools must sell in order to break even under this product mix. Lawnmowers units Weed-trimmers units Chainsaws units