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$800,000 $60,000 $270,000 $10,000

Amarantha Corp. has provided the following data for the current year. Units produced units sold Sales price Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling and administrative costs Fixed selling and administrative costs 2,500 units 2000 units $400 per unit $75 per unit $65 per unit $25 per unit $250,000 per year $30 per unit $150,000 per year Calculate the Operating Income using absorption costing. 0 900.000 O $60.000 O $270,000 O SIO,ooo