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Gaston Company is a merchandising firm. Next month, the company expects to sell 800 units. The following data describe the company's revenue and cost structure:

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Gaston Company is a merchandising firm. Next month, the company expects to sell 800 units. The following data describe the company's revenue and cost structure: Selling price per unit Sales commission Purchase price (cost) per unit Advertising expense Administrative expense $40 5% $18 $4,000 per month $4,500 per month plus 15% of sales Assume that all activity mentioned in this problem is within the relevant range. What is the expected operating income next month? Multiple Choice $11,200 $5.100 $7,500 $2.700 C

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