Schooner Corporation used the following data to evaluate its current operating system. The company sells items for $25 each and used a budgeted selling price of $25 per unit.

	Actual	Budgeted
Units sold	176,000 units	185,000 units
Variable costs	$1,081,000	$1,294,000
Fixed costs	$802,000	$777,000

What is the static-budget variance of operating income?

A.$33,000 favorable

B.$8,000 favorable

C.$188,000 unfavorable

D.$9,000 unfavorable

Schooner Corporation used the following data to evaluate its current operating system. The company sells items for $30 each and used a budgeted selling price of $30 per unit.

	Actual	Budgeted
Units sold	176,000 units	183,000 units
Variable costs	$1,082,000	$1,290,000
Fixed costs	$805,000	$770,000

What is the static-budget variance of variable costs?

A.$35,000 unfavorable

B.$208,000 unfavorable

C. $208,000 favorable

D.$35,000 favorable