A Business Operated at 100% of Capacity During Its First

Multiple Choice

A business operated at 100% of capacity during its first month and incurred the following costs: If 2,000 units remain unsold at the end of the month and sales total $300,000 for the month, the amount of operating income reported on the variable costing income statement would be

A) $100,800
B) $100,000
C) $114,800
D) $140,000