The following financial information was summarized from the accounting records of Globe Corporation for the current year ended December 31:

	Northern	Southern	Corporate
	Division	Division	Total
Cost of goods sold	$310,000	$175,000
Direct operating expenses	250,000	115,000
Net sales	600,000	410,000
Interest expense			$12,000
General overhead			101,000
Income tax			26,700

The gross profit for the Southern Division is:

Select one:

a. $150,000.

b. $295,000.

c. $235,000.

d. $120,000.