The following income statements are provided for Li Company's last two years of operation:

	Year 1				Year 2
Number of units produced and sold		4,300				3,900
Sales revenue	$	65,790			$	59,670
Cost of goods sold		44,240				39,840
Gross margin		21,550				19,830
General, selling, and administrative expenses		14,980				13,940
Net income	$	6,570			$	5,890

Assuming that cost behavior did not change over the two-year period, what is the company's annual fixed general, selling, and administrative cost?

Multiple Choice

• $4,300

• $3,800

• $1,900

• $1,400