Atlas Inc. uses a standard costing system. Atlas's year ending balances at December 31, 2015 are shown here:

Calculate standard net operating income of the company for the year ended.

Sales revenue (standard) 150,000 Direct materials price variance 300 Variable overhead spending variance 200 Sales revenue variance 4,000 Direct materials efficiency variance 25 Variable overhead efficiency variance 800 Cost of goods sold (standard) 78,000 Direct labor price variance 800 Fixed overhead spending variance 90 Selling & admin expenses 60,000 Direct labor efficiency variance 70 Fixed overhead volume variance 15