Oslo Company's industrial photo-finishing division, Rho, incurred the following costs and expenses in the last period: Direct materials Variable $ 183,000 Fixed Direct labour Factory overhead General, selling, and administrative Totals 138,000 67,000 $ 44,000 32,000 52,000 $ 420,000 $ 96,000 During the period, Rho produced 300,000 units of industrial photo prints, which were sold for $1.92 each. Oslo's investment in Rho was $480,000 and $680,000 at the beginning and ending of the year, respectively. Oslo's weighted average cost of capital is 15%.