Consider the information below:
able[[Sales (7,000 units),$700,000
Consider the information below:
Sales (7,000 units)
$700,000
Total direct labor and direct materials
$400,000
Total factory overhead (60% fixed)
$200,000
Total marketing and administrative expenses (20% variable)
$140,000
Units of product manufactured
10,000
Beginning Inventory, finished goods (units)
none
Ending Inventory, finished goods (units)
3,000
Work-in-process inventories
none
What is firm's operating income under (actual) variable costing ?
$140,000
$104,000
$80,000
O $192,000