Ibis Company prepared the following static budget for the month of November, 2015:

If a flexible budget was prepared at a volume of 13,000 units, calculate the operating income at 13,000 units of production.

Static Budget Units/volume Sales revenue Variable expenses Contribution margin Fixed expenses Operating income/(loss) Per Unit $20 $8 12,000 $240,000 -96,000 144,000 -130,000 $14,000