Frazer Corp Sells Several Products What Is the Operating Income Earned If the Company Sells

Multiple Choice

Frazer Corp sells several products.Information of average revenue and costs is as follows:
$\begin{array}{ll}\text { Selling price per unit } & \$ 28.5 \\\text { Variable costs per unit: } & \\\text { Direct material } & \$ 6.00 \\\text { Direct manufacturing labor } & \$ 1.45 \\\quad \text { Manufacturing overhead } & \$ 0.85 \\\quad \text { Selling costs } & \$ 2.60 \\\text { Annual fixed costs } & \$ 125,000\end{array}$
What is the operating income earned if the company sells 20,000 units?

A) $279,000
B) $296,000
C) $325,000
D) $227,000