$180,000 Sales revenue (300 units $600 per unit) Less Manufacturing costs Variable costs Depreciation (fixed) Marketing and administrative costs Fixed costs (cash) Depreciation (fixed) Total costs Operating profits 26,000 27,540 67,500 22,860 $143,900 $ 36,100 $180,000 Sales revenue (300 units $600 per unit) Less Manufacturing costs Variable costs Depreciation (fixed) Marketing and administrative costs Fixed costs (cash) Depreciation (fixed) Total costs Operating profits 26,000 27,540 67,500 22,860 $143,900 $ 36,100