A company has net sales of $752,000 and cost of goods sold of $543,000. Its net income is $17,530. The company's gross margin and operating expenses, respectively, are:

• $209,000 and $191,470

• $209,000 and $227,000

• $525,470 and $227,000

• $227,000 and $525,470

• $734,000 and $191,470