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 $ 950, eee Cost of goods sold 660, eee Gross margin 290,000 Selling and administrative expenses Selling $ 106,000 Administrative 116,000 222,000 Net operating income $ 68,000 On average a book sells for $50. Variable selling expenses are $4 per book with the remaining selling expenses being fixed. The variable administrative expenses are 5% of sales with the remainder being fixed The cost formula for selling and administrative expenses with "* equal to the number of books sold is Multiple Choice Y = $98,500 + $6.50X O Y = $115,500 + $6.50X O Y = $115,500 + $4.00X O Y = $98,500 + $9.00X