In its first year of operations, ABC company had the following costs when it produced 500,000 units and sold 400,000 units of its only product:

Manufacturing costs:

Fixed $300,000/total

Variable 350,000/total

Selling and administrative costs:

Fixed $200,000/total

Variable 100,000/total

The company showed an income of $700,000 using variable costing. What amount would the company recognize as income using absorption costing?