Required information [The following information applies to the questions displayed below] Phoenix Company's 2019 master budget included the following fixed budget report. It is based on an expected production and sales volume of 15,000 units. PHOENIX COMPANY Fixed Budget Report For Year Ended December 31, 2019 Seles Cost of goods sold Direct materials Direct labor Machinery repairs (variable cost) Depreciation-Plant equipment (straight-line) Utilities ($30,000 is variable) $3,000,000 1960,000 240,000 60,000 315,000 180,000 Plant management salaries 200,000 1,955,000 Gross profit 1,045,000 Selling expenses Packaging 50,000 Shipping 105,000 Sales salary (fixed annual amount) 235,000 430,000 General and administrative expenses Advertising expense 125,000 Salarles 241,000 Entertainment expense 85,000 451,000 Income from operations $ 164,000 3. The company's business conditions are improving. One possible result is a sales volume of 18,000 units. The company president is confident that this volume is within the relevant range of existing capacity. How much would operating income increase over the budgeted amount of $164,000 if this level is reached without increasing capacity?