A manufacturing company that produces a single product has provided the following data concerning its most recent month of operations: What is the net operating income for the month under variable costing?

Answer:$192.200

Explanation: sales revenue ($135 * 6,200) ... $837,000 Variable cost: ... Direct materials ($49 * 6,200) ... $303,800 Direct labor ($38 * 6,200) ... 235,000 Variable manufacturing overhead ($6 * 6,200) ... 37,200 Variable selling and administrative ($11 * 6,200) ... 68,200 644,800 Contribution margin ... $192,200