Evergreen Corporation manufactures creuit boards and is in the process of preparing next year's budget. The proforma income statement for the current year is presented below. $3,540,000 Sales Cost of sales: Direct material Direct labor Variable overhead Fixed overhead Gross profit Selling and General & Admin. Exp. Variable Fixed Operating income $504,000 270,000 277,000 620,000 1,671,000 $1,869,00 754,000 254,000 1,000,000 $ 861,000 For the coming year, the management of Evergreen Corporation anticipates a 5 percent decrease in sales, a 10 percent increase in all variable costs, and a 547000 increase in fixed costs. The operating profit for next year would be Multiple Choice $471500 $456,500 5810,250 5531500