XYZ Inc. sells a single product for $12 per unit. Variable production costs are $5 per unit. Fixed overhead costs amount $10,000 per month. Variable selling costs are $1 per unit. Fixed selling costs are $2,000 per month. Last month, the company had no sales or production. What was ABC's net operating income or loss?

Multiple Choice

1-$17,000 loss

2-$12,000 loss

3-$22,000 profit

4-$27,000 loss