Cord Corporation discloses operating segment information for its two reportable segments. Data for the year are available as follows:

	Segment E	Segment W
Sales	$750,000	$250,000
Traceable operating expenses	$325,000	$130,000
Additional expenses are as follows:
Indirect operating expenses		$120,000
General corporate expenses		$100,000

The calculation of the measure of segment profit or loss reviewed by Cords chief operating decision maker includes traceable operating costs and indirect operating expenses, but not general corporate expenses. Indirect operating expenses are allocated based on the ratio of each segments sales to total reportable segment sales. The annual operating profit for Segment E was

a. $260,000

b. $395,000

c. $425,000

d. $335,000