Eastern Waves Co. makes paddleboards that are distributed to a variety of beach shops along the Jersey Shore. Financial information related to Eastern Waves' operations is below. During 2019, Eastern Waves produces 2,000 paddleboards and sells 1,750. For simplicity, assume no beginning inventory.

Data ber board:
Direct materials	$150
Direct manufacturing labor	$120
Variable manufacturing overhead	$95
Variable selling expenses	$35
Total cost information:
Fixed manufacturing overhead	$200,000
Fixed administrative expenses	$250,000

If the sales price for a paddleboard is $750, contribution margin under variable costing would be:

		$673,750
		$612,500
		$512,500
		$162,500