An income statement for Sam's Bookstore for the first quarter of the year is presented below Sam's Bookstore Income Statement Tor Quarter Ended March 31 Sales Cost of goods sold Gross margin Selling and administrative expenses Selling $ 114.000 Administrative 132,000 Net operating income $ 850,000 535,000 315,000 246,000 $ 69,000 On average, a book sells for $50. Variable selling expenses are $5 per book with the remaining selling expenses being fixed. The variable administrative expenses are 4% of sales with the remainder being fixed The net operating income using the contribution approach for the first quarter is Multiple Choice $196,000 $230,000 o $315.000 $69.000