Jose sells habanero peppers to specialty salsa producers around the world. Each pepper retails for $1.50. The results of his last month of operations are as follows. Sales $2,205,000 Cost of goods Sold (All Variable) $705,600 Gross Profit $1,499,400 Selling Cost (35% Variable) $425,000 Administrative Cost (42% Variable) $860,000 Net Income $214,400 What is Joses contribution margin ratio?

Select one: a. 68% b. 32% c. 45% d. 10%