Steven Sykes publishes a pilot training course curriculum kit that he sells to flight schools across the country. He prepared the

following static budget for the year based on expected sales of $24,600$ curriculum kits.

Sales revenue

Variable cost of goods sold

Variable selling and administrative expenses

Contribution margin

Fixed manufacturing overhead

Fixed selling and administrative expenses

Operating income

$$3,075,000$

$1\mathrm{.}230\mathrm{.}000$

$369\mathrm{.}000$

$1,476,000$

$688\mathrm{.}800$

$303\mathrm{.}400$

$$483,800$