Donegal Brothers Is an Exclusive Retailer of Men's Clothes

Donegal Brothers is an exclusive retailer of men's clothes. The store is located in a prime professional office building and has average annual sales of $2.2 million. Currently, the owner is considering expanding into professional attire for women. Should the firm expand into women's clothing, he feels that their current sales to men will decline by $400,000. However, he believes that the store can sell an average of $750,000 of women's clothes a year. What should the owner use as annual sales when analyzing the proposed expansion?

A) $350,000
B) $400,000
C) $750,000
D) $1,050,000
E) $1,150,000