A business operated at 100% of capacity during its first month, with the following results: Sales (96 units) $480,000 Production costs (120 units): Direct materials $60,000 Direct labor 15,000 Variable factory overhead 27,000 Fixed factory overhead 24,000 126,000 Operating expenses: Variable operating expenses Fixed operating expenses $5,890 3,570 9,460 The amount of contribution margin that would be reported on the variable costing income statement is a. $470.540 b. $388,940 c. $392,510 d. $479,880