Stuart Manufacturing Company produces a component part of a top secret military communication device. Standard production and cost data for the part, Product X, follow:

Planned production 29,000 units Per unit direct materials 3.00 pounds @ $ 2.50 per pound

Per unit direct labor 2.90 hours @ $ 8.20 per hour

Total estimated fixed overhead costs $ 658,300

Stuart purchased and used 90,830 pounds of material at an average cost of $2.53 per pound. Labor usage amounted to 82,820 hours at an average of $8.32 per hour. Actual production amounted to 29,800 units. Actual fixed overhead costs amounted to $702,300. The company completed and sold all inventory for $1,920,000.

Question Determine the amount of gross margin Stuart would report on the year-end income statement.