It costs Homer's Manufacturing $0.75 to produce baseballs and Homer sells them for $7 apiece. Homer pays a sales commission of 5% of sales revenue to his sales staff. Homer also pays $16,000 a month rent for his factory and store, and also pays $77,000 a month to his staff in addition to the commissions. Homer sold 67,500 baseballs in June. If Homer prepares a traditional income statement for the month of June, what would be his operating income? OA. $398,250 OB. $421,875 OC. $472,500 OD. $305,250 ***

It costs Homer's Manufacturing $0.75 to produce baseballs and Homer sells them for $7 apiece. Homer pays a sales commission of 5% of sales revenue to his sales staff. Homer also pays $16,000 a month rent for his factory and store, and also pays $77,000 a month to his staff in addition to the commissions. Homer sold 67,500 baseballs in June. If Homer prepares a traditional income statement for the month of June, what would be his operating income? A. $398,250 B. $421,875 C. $472,500 D. $305,250