Iowa Company Reported the Following Information About the Production and Sales

Iowa Company reported the following information about the production and sales of its only product during its first month of operations: $\begin{array}{lr}\text { Sales } \$ 225 \text { per unit) } & \$ 360,000 \\\text { Direct materi als used } & \$ 176,000 \\\text { Direct labor } & \$ 100,000 \\\text { Variable factory overhead } & \$ 44,000 \\\text { Fixed factory overhead } & \$ 80,000 \\\text { Variable selling and administrative expenses } & \$ 20,000 \\\text { Fixed selling and administrative expenses } & \$ 10,000\\\\\text { Ending inventories: }\\\\\text { Direct materials } & -0- \\\text { WIP } & -0- \\\text { Finished goods } & 400 \text { units }\end{array}$ The contribution margin under variable costing is_____.

A) $20,000
B) $84,000
C) $104,000
D) $40,000