60 pts. Due: Wednesday, February 13 Data: "IlI never understand this accounting stuff," Sage Kay yelled, waving the income statement he had just received from his accountant in the morning mail. "Last month (February), we sold 1,000 stuffed Edmonds Community College mascots and earned $6,850 in operating income. This month (March), when we sold 1,500, I thought we'd make $10,275. But his income statement shows an operating income of $12,100! How can I ever make plans if I can't predict my income? I'm going to give Crisleen one last chance to explain this to me," he declared as he picked up the phone to call Crisleen Malabanan, his accountant. "Will you try to explain this operating income thing to me one more time?" Sage asked Crisleen. "After I saw last month's income statement, I thought each mascot we sold generated $6.85 in net income; now this month, each one generates $8.07! There was no change in the price we paid for each mascot, so I don't understand how this happened. If I had known I was going to have $12,100 in operating income, I would have looked more seriously at adding to our product line." REQUIRED: a. Assume Crisleen's role. Explain to Sage why his use of operating income per mascot was in error. (5 pts.) Explanation Assessed (Scale of 1-5) 1 2 3 4 5