Beginning inventory of finished goods 0 Units produced (no work in process) 22,000 Units sold 18,000 Units in ending inventory of finished goods 4,000 Sales price $55 per unit Variable manufacturing costs $25 per unit manufactured Variable selling and administrative expenses $7 per unit sold Fixed manufacturing costs for the year $110,000 Fixed selling and administrative expenses for the year $124,000 Using direct costing, the manufacturing margin is:

$550,000

$540,000

$480,000

$450,000