New Mexico Company Provided the Following Information Regarding Its Only

Multiple Choice

New Mexico Company provided the following information regarding its only product--skateboards. $\begin{array}{lr}\text { Direct materials used } & \$ 200,000 \\\text { Direct labor } & 80,000 \\\text { Fixed overhead } & 100,000 \\\text { Fixed selling and administrative costs } & 150,000 \\\text { Variable overhead } & 20,000 \\\text { Variable selling and administrative } & 60,000 \\\text { Selling unit price } & 80\\\text { Units produced and sold }&10,000\end{array}$ _____ is the contribution margin if the contribution approach is used.

A) $350,000
B) $390,000
C) $470,000
D) $500,000