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QUESTION

Hathaway Inc. produces and sells golf umbrellas to local resorts.Hathaway anticipates April to be a busy month with the sale of 2,000 umbrellas.

$43,500

Fixed costs    6,000

Net operating income $37,500

During April, Hathaway actually produced and sold 2,300 umbrellas. What should be Hathaway's net operating income in April based on a flexible budget?

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