25. In 2021, ABS had a variable manufacturing cost of $14,400 and a fixed manufacturing overhead of $4,000. The company had sold 4,800 units representing 60% of the units manufactured. The initial inventory of finished goods was zero. Which of the following statements would be true?

a) The ending inventory under the variable cost method would be $1,600 less than the ending inventory under the full cost method.

b) No answer is appropriate

c) The net income under the full cost method would be $1,600 less than the net income under the variable cost method.

d) The net income under the full cost method would be $5,760 higher than the net income under the variable cost method.

e) Under the variable cost method, the cost of ending inventory would be valued at $7,360.