Gel Shell makes gel nail polish, which they sell for \( \$ 18 / \) bottle. Gel Shell has the following costs
Gel Shell's Costs
\begin{tabular}{|l|l|}
\hline \multicolumn{1}{|c|}{ Type of Cost } & \multicolumn{1}{c|}{ Amount } \\
\hline Direct Materials & \( \$ 2 / \) unit \\
\hline Direct Labor & \( \$ 3 / \) unit \\
\hline Variable Overhead & \( \$ 4 / \) unit \\
\hline Fixed Overhead & \( \$ 800,000 / \) year \\
\hline \begin{tabular}{l}
Variable sales and \\
administrative
\end{tabular} & \( \$ 1 / \) unit \\
\hline Fixed sales and administrative & \( \$ 80,000 / \) year \\
\hline
\end{tabular}
In the current year, Gel Shell produced 160,000 bottles of nail polish and sold \( \$ 170,000 \) bottles of nail polish. The ended the year with 30,000 unsold bottles of nail polish.
What is Gel Shell's Net Income under variable costing?
480,000
270,000
430,000
420,000
