Dessa,IncReports the Following Information for the Year Ended December 31

Dessa,Inc.reports the following information for the year ended December 31: $\begin{array}{|l|r|l|}\hline \text { Beginning Finished Goods Inventory } & 50& \text { units } \\\hline \text { Units produced } & 410& \text { units } \\\hline \text { Units sold } & 460 &\text { units } \\\hline \text { Sales price } & \$ 150&\text { per unit } \\\hline \text { Direct materials } & \$ 30& \text { per unit } \\\hline \text { Direct labor } & \$ 10& \text { per unit } \\\hline \text { Variable manufacturing overhead } & \$ 16& \text { per unit } \\\hline \text { Fixed manufacturing overhead } & \$ 15,300& \text { per year } \\\hline \text { Variable selling and administrative costs } & \$ 10 &\text { per unit } \\\hline \text { Fixed selling and administrative costs } & \$ 13,500 &\text { per year }\\\hline\end{array}$ The beginning Finished Goods Inventory costs were $3,500 under absorption costing and $2,800 under variable costing.
What is the operating income using variable costing?

A) $38,640
B) $40,200
C) $9,840
D) $2,340