Assume the following information for a company that produced 10,000 units and sold 9,000 units during its first year of operations:

	Per Unit					Per Year
Selling price		$	200
Direct materials		$	75
Direct labor		$	50
Variable manufacturing overhead		$	10
Sales commission		$	8
Fixed manufacturing overhead						$	300,000

Using variable costing, what is the companys contribution margin?

Multiple Choice

• $513,000

• $585,000

• $315,000

• $387,000