Haier Corporation incurred fixed manufacturing costs of $6,000 during 2019. Other information for 2019 includes:

The budgeted denominator level is 1,000 units.

Units produced total 750 units.

Units sold total 600 units.

Beginning inventory was zero.

The company uses absorption costing and the fixed manufacturing cost rate is based on the budgeted denominator level. Manufacturing variances are closed to cost of goods sold.

Operating income using absorption costing will be ________ than operating income if using variable costing

Group of answer choices

$2,400 lower

$2,400 higher

$3,600 lower

$900 higher