Mary Poppins, LLC is a manufacturer of umbrellas. During the previous period, $900,000 of direct materials were requisitioned and $250,000 of direct labor was incurred in the company's manufacturing operations. The company uses actual costing to account for the manufacturing overhead.

The actual manufacturing overhead costs incurred totaled $850,000. The following additional information was extracted from the company's accounting records:

Cost of Goods Manufactured: 1,950,000

SG&A Expenses: 550,000

Sales Revenue: 3,500,000

Net decrease in Finished Goods Inventory of $75,000

Calculate Operating Income for the previous period.

$1,100,000

$1,475,000

$925,000

$775,000

$1,075,000