Scenario 12-1 CANOES-R-US Makes Canoes. It Buys the Shell of the Canoe

Scenario 12-1
CANOES-R-US makes canoes. It buys the shell of the canoe from another local firm for $300 and uses its labor and intermediate goods to make the canoe. It sells the finished canoe to a retail canoe store for $800. The retail canoe store then sells the canoe to a consumer for $1,200.
-Refer to Scenario 12-1.The value added of CANOES-R-US for each canoe equals

A) $1,200.
B) $800.
C) $500.
D) $400.