Callaway Corp., which began business at the start of the current year, had the following data:

Planned and actual production: 50,000 units

Sales: 46,000 units at $12 per unit

Production costs:

Variable: $4 per unit

Fixed: $225,000

Selling and administrative costs:

Variable: $1 per unit

Fixed: $37,000

The contribution margin that the company would disclose on a variable-costing income statement is:

Multiple Choice

• $205,500.
• $322,000.
• $50,000.
• None of the answers is correct.
• $0.