Barnes Corporation expected to sell 150,000 games during the month of November. The following budgeted data are based on that level of sales:
|
Revenue (150,000 games) |
$2,400,000 |
|
Variable expenses |
1,425,000 |
|
Fixed manufacturing overhead expenses |
250,000 |
|
Fixed selling & administrative expenses |
500,000 |
|
Net operating income |
225,000 |
Barnes” actual sales during November were 180,000 games. What should the actual net operating income during November have been?
A) $450,000
B) $270,000
C) $420,000
D) $510,000