Ginger Inc. produces and sells a single product. The company has provided its contribution format income statement for May.

sales (4,500 units)...427,500

variable expenses...265,500

contribution margin...162,000

fixed expenses...135,300

net operating income...26,700

If the company sells 4,300 units, its net operating income should be closest to: A. $7,700 B. $25,513 C. $26,700 D. $19,500