Mormino Corporation's Income Statement Appears Below The Company's Gross Margin Percentage Is Closest To:
A) 1888

Mormino Corporation's income statement appears below:
$\begin{array}{lr}\text { Income Statement }\\\text {Sales (all on account) }&\$1,240,000\\\text {Cost of goods sold }&730,000\\\text { Gross margin}&510,000\\\text {Operating expenses. }&450,462\\\text {Net operating income }&59,538\\\text {Interest expense }&18,000\\\text {Net income before taxes }&41,538\\\text {Income taxes (35\%) }&14,538\\\text {Net income }&\$27,000\\\end{array}$ The company's gross margin percentage is closest to:

A) 1888.9%
B) 5.3%
C) 41.1%
D) 69.9%