Smooth Incorporated manufactures hair brushes that sell at wholesale for $2.60 per unit. Budgeted production in both 2021 and 2022 was 3,200 units. There was no beginning inventory in 2021. The following data summarized the 2021 and 2022 operations:

	2021	2022
Units sold	2,600	3,400
Units produced	3,200	3,200
Costs:
Variable factory overhead per unit	$ 0.55	$ 0.65
Fixed factory overhead	$ 1,440	$ 1,440
Variable marketing per unit	$ 0.75	$ 1.00
Fixed Selling and Administrative	$ 650	$ 650

Full costing operating income for 2021 is calculated to be: (Do not round intermediate calculations. Round your final answers to whole dollar amounts.)

Multiple Choice

$1,290.

$1,560.

$1,450.

$1,318.

$1,360.