Narchie Sells a Single Product for $50

Multiple Choice

Narchie sells a single product for $50. Variable costs are 60% of the selling price, and the company has fixed costs that amount to $400,000. Current sales total 16,000 units.
If Narchie sells 24,000 units, its safety margin will be:

A) $200,000.
B) $400,000.
C) $1,000,000.
D) $1,200,000.
E) None of the other answers is correct.