Bernardo Company Reported the Following Units of Production and Sales

Multiple Choice

Bernardo Company reported the following units of production and sales for August and September 2018: $\begin{array}{lrr}&\text { Units }\\\hline \text { Month }& \text { Produced } & \text { Sold } \\\text { August } 2018 & 100,000 & 90,000 \\\text { September } 2018 & 100,000 & 105,000\end{array}$
Net income under absorption costing for August was $40,000; net income under variable costing for September was $50,000. Fixed manufacturing costs were $600,000 for each month.
How much was net income for August using variable costing?

A) $40,000
B) $20,000
C) $(20,000)
D) $(40,000)