Writer One Inc. manufactures ball point pens that sell at wholesale for $0.80 per unit. Budgeted production in both 2015 and 2016 was 8,000 units. There was no beginning inventory in 2015. The following data summarized the 2015 and 2016 operations:

	2015	2016
Units sold	6,500	9,000
Units produced	8,000	8,000
Costs:
Variable factory overhead per unit	$0.20	$0.20
Fixed factory overhead	$1,200	$1,200
Variable marketing per unit	$0.30	$0.30
Fixed Selling and Administrative	$320	$320

Variable costing operating income for 2015 is calculated to be:

$430.

$655.

$149.

$1,030.

$1,180.