An income statement for Sam's Bookstore for the first quarter of the year is presented below. Sam's Bookstore Income Statement For Quarter Ended March 31 Sales 153 $980,000 Cost of goods sold 680,000 Gross margin 300,000 Selling and administrative expenses Selling $110,000 Administrative 124,000 234,000 Net operating income $ 66,000 On average, a book sells for $70. Variable selling expenses are $4 per book with the remaining selling expenses being fixed. The variable administrative expenses are 3% of sales with the remainder being fixed. The net operating income using the contribution approach for the first quarter is: Multiple Choice $300.000 5244 00