Calip Corporation, a merchandising company, reported the following results for October:

Sales	$418,000
Cost of goods sold (all variable)	$175,500
Total variable selling expense	$23,700
Total fixed selling expense	$21,800
Total variable administrative expense	$16,200
Total fixed administrative expense	$34,300

The gross margin for October is:

• $242,500

• $361,900

• $146,500

• $202,600