Eagle Corporation manufactures a picnic table. Shown below is Eagle's cost structure:

	Variable cost per table	Total fixed cost for the year
Manufacturing cost	$63	$213,370
Selling and administrative	$11	$32,567

In its first year of operations, Eagle produced and sold 11,230 tables. The tables sold for $155 each.

How would Eagle's absorption costing net operating income have been affected in its first year if 13,470 tables were produced instead of 11,230 and Eagle still sold 11,230 tables? (Round your intermediate calculations to 2 decimal places.)

	net operating income would have been $35,487 higher
	net operating income would not have been affected
	net operating income would have been $39,987 higher
	net operating income would have been $124,487 lower