MC Qu. 8-39 Riverton Corp., which began business...

Riverton Corp., which began business at the start of the current year, had the following data:

Planned and actual production: 40,000 units

Sales: 34,000 units at $16 per unit

Production costs:

Variable: $3 per unit

Fixed: $310,000

Selling and administrative costs:

Variable: $2 per unit

Fixed: $41,100

The contribution margin that the company would disclose on a variable-costing income statement is:

Multiple Choice

• $109,500.
• $132,000.
• $178,500.
• $374,000.
• None of the answers is correct.