Music Incorporated planned and manufactured 256,500 units of its single product in 2022, its first year of operations. Variable manufacturing costs were $43 per unit of production. Planned and actual fixed manufacturing costs were $613,000. Marketing and administrative costs (all fixed) were $306,500 in 2022. Music Incorporated sold 206,500 units of product in 2022 at $73 per unit.

Variable costing operating income for 2022 is calculated to be: (Do not round intermediate calculations. Round your final answers to whole dollar amounts.)

Multiple Choice

$4,138,000.

$4,345,000.

$5,275,500.

$5,394,965.

$6,206,000.