During Its Most Recent Fiscal Year,Raphael Enterprises Sold 200,000 Electric

Multiple Choice

During its most recent fiscal year,Raphael Enterprises sold 200,000 electric screwdrivers at a price of $15 each.Fixed costs amounted to $400,000 and pretax income was $600,000.What amount should have been reported as variable costs in the company's contribution margin income statement for the year in question?

A) $2,400,000.
B) $1,600,000.
C) $3,000,000.
D) $2,000,000.
E) $1,000,000.