Swan Textiles Inc. produces and sells a decorative pillow for $98 per unit. In the first month of operation, 2,100 units were produced and 1,750 units were sold. Actual fixed costs are the same as the amount budgeted for the month. The fixed cost budget is based on the production of 2,100 units. Other information for the month includes: Variable manufacturing costs $23.00 per unit Variable marketing costs $9.00 per unit Fixed manufacturing costs $13.00 per unit Administrative expenses, all fixed $20.00 per unit Ending inventories: Direct materials 0 - WIP - 0- Finished goods 350 units What is the operating income using variable costing? A. $115,500 B. $46,200 C. $92,750 D. $57,750