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A manufacturing company that produces a single product has provided the following data concerning its most recent month of operations:
Selling price = $123
Unit in beginning inventory = 0
Units produced = 1,000
Units sold = 900
Units in ending inventory = 100
Variable costs per unit:
Direct materials = $41; Direct labor = $26; VMOH = $4; Variable selling and administrative = $6
Fixed costs:
FMOH = $17,000; Fixed selling and administrative = $11,700
What is the net operating income for the month under variable costing?
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