A business operated at 100% of capacity during its first month, with the following results: Sales (98 units) $470,400 Production costs (122 units): Direct materials $63,303 Direct labor 16,163 Variable factory overhead 28,284 Fixed factory overhead 26,938 134,688 Operating expenses: Variable operating expenses Fixed operating expenses $5,128 4,281 9,409 The amount of operating income that would be reported on the absorption costing income statement is a. $352,799 Ob. $374,438 c. $470,278 Od. $378,719