Starlet Cosmetics manufactures and sells a face cream to small, family-run stores in the greater Montreal area. It presents the monthly operating statement of comprehensive income to Franois , Garnier, a potential investor in the business. Help Garnier understand 's Starlet's cost structure.

Starlet Cosmetics
Statement of Operating Income
For the Month of June
Units sold		15,000
Revenue		$180,000
Cost of goods sold
Variable manufacturing costs	$97,500
Fixed manufacturing costs	10,000
Total		107,500
Gross margin		72,500
Operating costs
Variable marketing costs	$6,900
Fixed marketing and administrative costs	10,000
Total operating costs		16,900
Operating income		$55,600