Omni, Inc. planned and actually manufactured 200,000 units of its single product in 20X4, its first year of operations. Variable manufacturing costs were $30 per unit of product. Planned and actual fixed manufacturing costs were $600.000, and selling and administrative costs totaled $400.000 in 20X4. Omni sold 120,000 units of product in 20X4 at a selling price of $40 per unit.

Omni's 20X4 operating income using absorption (full) costing is:

a)200,000

b) 440,000

c)660,000

d) 840,000

I do not understand how becker came up with the answer b. Can anyone please explain the steps and a shorter to method to arrive at the answer. Thanks