SixthZ had the same pricing and cost structures in 2019 and 2020. SixthZ sold its cornhole boards for $120 set. Variable manufacturing costs per set were $30, and fixed manufacturing costs at the normal operating level of 1,500 sets are $30,000. Variable selling expenses are $5 per set sold. Fixed administrative expenses total $10,000.

During 2020, SixthZ produced 1,350 sets and sold 1,500 sets. What would be the relationship between SixthZ's variable costing and absorption costing for 2020?

Group of answer choices

Variable operating income was $5,000 higher than absorption operating income

Absorption operating income was $3,000 higher than variable operating income

Variable operating income was $3,000 higher than absorption operating income

Absorption operating income was $5,000 higher than variable operating income