Based on a predicted level of production and sales of 30,000 units, a company anticipates total contribution margin of $105,000, fixed costs of $40,000, and operating income of $65,000. Based on this information, the budgeted operating income for 28,000 units would be:

Multiple Choice

• $52,000.

• $135,333.

• $58,000.

• $72,500.

• $105,000.