[The following information applies to the questions displayed below.] Advanced Company reports the following information for the current year. All beginning inventory amounts equaled $0 this year.    Units produced this year 25,000unitsUnits sold this year 15,000unitsDirect materials$9per unitDirect labor$11per unitVariable overhead$3per unitFixed overhead$137,500in totalGiven Advanced Company's data, compute cost of finished goods in inventory under absorption costing.

A. $712,500
B. $427,500
C. $345,000
D. $230,000
E. $285,000


Answer: E

Business

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