Moonbeam manufactures wooden playsets. Information related to the sale and production during the month of March is as follows: Flexible Actual Static Budget Budget Units sold 750 750 800 Revenue $862,500 $900,000 $960,000 Variable costs: Direct material 299,250 300,000 320,000 Direct labor 273,000 240,000 256,000 Variable manuf. overhead 117,000 120,000 128,000 Total 689,250 660,000 704,000 Contribution margin 173,250 240,000 256,000 Fixed costs 118,000 143,000 143,000 Operating income $55,250 $97,000 $113,000