Stafford Company Prepared a Static Budget for a Production and Sales

Stafford Company prepared a static budget for a production and sales volume of 10,000 units.What is net income if 9,000 units are sold? $\begin{array}{|l|l|ll|}\hline & & & \text { Static Budget } \\\hline \text { Number of units } & & \text { \$ } & 10,000 \\\hline & \begin{array}{l}\text { Per unit } \\\text { standards }\end{array} & & \\\hline \text { Sales revenue } & \$ \quad 65.00 & \$ & 650,000 \\\hline \text { Variable manufacturing costs: } & & & \\\hline \text { Materials } & \$ 11.00 & 110,000 \\\hline \text { Labor } & \$ 9.00 & 90,000 \\\hline \text { Overhead } & \$ 4.20 & 42,000 \\\hline \begin{array}{l}\text { Variable general, selling, and } \\\text { administrative costs }\end{array} & \$ \quad 11.00 & 110,000 \\\hline \text { Contribution margin } && \$ 298,000 \\\hline \text { Fixed costs } & & \\\hline \text { Manufacturing overhead } & & 100,800 \\\hline \begin{array}{l}\text { General, selling, and administrative } \\\text { costs }\end{array} & & 45,000\\\hline \text { Net income } & & \$152,200 \\\hline\end{array}$

A) $152,100
B) $152,400
C) $137,300
D) $122,400