Ibis Paper Company prepared the following static budget for November

Static Budget
Units/Volume 12,000
Per Unit
Sales Revenue $21.00 $252,000
Variable Costs 8.00 96,000
Contribution Margin 156,000
Fixed Costs 13,000
Operating Income/(Loss) $143,000

If a flexible budget is prepared at a volume of 13,300 units, calculate the operating income at 13,300 units of production. The production level is within the relevant range.
A) $172,900
B) $156,000
C) $143,000
D) $159,900

D .D)
Ibis Paper Company
Flexible Budget
For the Month Ended November 30

Budgeted
Amounts
Per Unit
Units 13,300
Sales Revenue $21.00 $279,300
Variable Costs 8.00 106,400
Contribution Margin 172,900
Fixed Costs 13,000
Operating Income $159,900