During its most recent fiscal year, Raphael Enterprises sold 360,000 electric screwdrivers at a price of $19.80 each. Fixed costs amounted to $1,296,000 and pretax income was $1,656,000. What amount should have been reported as variable costs in the company's contribution margin income statement for the year in question?
a. $7,128,000.
b. $2,952,000.
c. $5,472,000.
d. $4,176,000.
e. $2,880,000.