The income statements ofTahanyCompany for June and July 2005 are as follows:

June

July

Sales

610

650

Cost of goods sold

420

460

Gross margin

190

190

Selling and administrative expenses

185

195

Income before tax

5

-5

Using High Low Method, the variable component of cost of goods sold is

a.1.00

b..25

c.1.25

d.0