A business operated at 100% of capacity during its first month, with the following results:

Sales (102 units)		$479,400
Production costs (128 units):
Direct materials	$65,033
Direct labor	16,604
Variable factory overhead	29,057
Fixed factory overhead	27,674	138,368
Operating expenses:
Variable operating expenses	$5,885
Fixed operating expenses	3,079	8,964

The amount of gross profit that would be reported on the absorption costing income statement is

a.$479,272

b.$363,253

c.$369,138

d.$360,174