Calculator A business operated at 100% of capacity during its first month, with the following results: Sales (96 units) $480,000 Production costs (120 units): Direct materials $60,000 Direct labor 15,000 Variable factory overhead 27,000 Fixed factory overhead 24,000 126,000 Operating expenses: Variable operating expenses $5,550 Fixed operating expenses 4,050 9,600 The amount of operating income that would be reported on the variable costing Income statement is a. $479,880 b. $364,800 c. $392,850 d. $470,400