Schubert Corporation Manufactures a Variety of Products

Multiple Choice

Schubert Corporation manufactures a variety of products. Variable costing net operating income last year was $59,000 and this year was $70,000. Last year, $31,000 in fixed manufacturing overhead costs were released from inventory under absorption costing. This year, $22,000 in fixed manufacturing overhead costs were deferred in inventory under absorption costing.
-What was the absorption costing net operating income this year?

A) $92,000
B) $58,000
C) $79,000
D) $61,000