Gonzalez Company has no beginning and ending inventories, and reports the following data about its only product:

Direct materials used $300,000

Direct labor $80,000

Fixed indirect manufacturing $100,000

Fixed selling and administrative $190,000

Variable indirect manufacturing $20,000

Variable selling and administrative $90,000

Selling price(per unit) $50

Units produced and sold 10,000

Gonzalez Company uses the absorption approach to prepare the income statement. What is the gross margin?

A) $0

B) $20,000

C) $100,000

D) $120,000