Carlos Company uses a standard cost accounting system. During January, the company reported the following manufacturing variances:

Materials price variance.....................$1,200 U

Materials quantity variance.....................800 F

Labour price variance............................550 U

Labour quantity variance......................$750 U

Overhead variance..............................800 U

In addition, 8,000 units of product were sold at $8 per unit. Each unit sold had a standard cost of $5. Selling and administrative expenses were $8,000 for the month.

Instructions

Prepare an income statement for management for the month ending January 31, 2016.