On October 31, the end of the first month of operations, Morristown & Co. prepared the following income statement based on absorption costing:

Morristown & Co.
Absorption Costing Income Statement
For the Month Ended October 31
Sales (2,600 units)				$117,000
Cost of goods sold:
Cost of goods manufactured		$85,500
Ending inventory (400 units)		(11,400)
Total cost of goods sold				(74,100)
Gross profit				$42,900
Selling and administrative expenses				(21,500)
Operating income				$21,400

If the fixed manufacturing costs were $42,900 and the variable selling and administrative expenses were $14,600, prepare an income statement using variable costing.

Morristown & Co.
Variable Costing Income Statement
For the Month Ended October 31
Sales		$
Variable cost of goods sold:
	$
		$
		$
Fixed costs:
	$
Operating income		$