Not sure how to get to the correct answer.

At an activity level of 350,000 units, Starkville Corp.'s revenue and cost structure includes the following items. Revenue $6.00 per unit Direct Material $1.00 per unit Direct Labor $2.00 per unit Variable Overhead - production $0.40 per unit Variable Overhead - selling $0.10 per unit Fixed Overhead - production $150,000 per period What is Starkville's contribution margin per product? * 1) $1.75 2) $2.50 $2.60 4) $3.00 5) $5.00