A business operated at 100% of capacity during its first month, with the following results: Sales (112 units) $560,000 Production costs (140 units): Direct materials $70,000 Direct labor 17,500 Variable factory overhead 31,500 Fixed factory overhead 28,000 $147,000 Operating expenses: Variable operating expenses $6,270 Fixed operating expenses 4,210 10,4801 The amount of contribution margin that would be reported on the variable costing income statement is Oa. 5454.320 Ob. $549,520 4 Oc. $458,530 Od. $559,860