Cap Incorporated manufactures ball point pens that sell at wholesale for $0.80 per unit. Budgeted production in both 2021 and 2022 was 9,500 units. There was no beginning inventory in 2021. The following data summarized the 2021 and 2022 operations:

	2021	2022
Units sold	8,000	5,500
Units produced	9,500	6,500
Costs:
Variable factory overhead per unit	$ 0.15	$ 0.15
Fixed factory overhead	$ 1,900	$ 1,300
Variable marketing per unit	$ 0.30	$ 0.30
Fixed Selling and Administrative	$ 320	$ 320

Full costing operating income for 2021 is calculated to be: (Do not round intermediate calculations. Round your final answers to whole dollar amounts.)

Multiple Choice

• $2,150.

• $1,260.

• $1,410.

• $200.

• $880.

For the current year, Electric Corporation expected to sell 40,100 industrial power cords. Fixed costs were expected to total $1,680,000; unit sales price was expected to be $4,950; and unit variable costs were budgeted at $3,450.

Electric Corporation's margin of safety ratio (MOS%) is (rounded to two decimal points): (Do not round intermediate calculations.)

Multiple Choice

• 90.54%.

• 91.42%.

• 92.98%.

• 99.30%.

• 97.21%.