A business operated at 100% of capacity during its first month, with the following results: Sales (102 units) $408,000 Production costs (128 units): Direct materials $55,347 Direct labor 14,131 Variable factory overhead 24,730 Fixed factory overhead 23,552 117,760 Operating expenses: Variable operating expenses Fixed operating expenses $5,166 4,198 9,364 The amount of gross profit that would be reported on the absorption costing income statement is Oa. $304,796 Ob. $314,160 Oc. $407,872 Od. $308,994