Wasilko Corporation produces and sells one producta.The budgeted selling price per unit is $114. Budgeted unit sales for February is 9,900 units. b.Each unit of finished goods requires 6 pounds of raw materials. The raw materials cost $4.00 per pound. c.The direct labor wage rate is $24.00 per hour. Each unit of finished goods requires 2.4 direct labor-hours. d.Manufacturing overhead is entirely variable and is $9.00 per direct labor-hour. e.The variable selling and administrative expense per unit sold is $1.60. The fixed selling and administrative expense per month is $70,000. The estimated net operating income (loss) for February is closest to:
A. $91,080
B. $21,080
C. $50,000
D. $36,920
Answer: B
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