$4$

$!$

Required information

Part $2$ of $4$

$10$

points

$[$The following information applies to the questions displayed below.$]$

Aces Incorporated, a manufacturer of tennis rackets, began operations this year. The company produced $6,950$ rackets and sold $5,380.$ Each racket was sold at a price of $$90.$ Fixed overhead costs are $$90,350$ per year, and fixed selling and administrative costs are $$67,200$ per year. The company also reports the following per unit variable costs for the year.

Direct materials

Direct labor

Variable overhead

Variable selling and administrative expenses

$$12$

$8$

$5$

$2$

Compute the cost of ending finished goods inventory reported on the balance sheet using variable costing.

$\backslash$table$[[$Finished goods inventory under variable costing,$],[,],[,],[,],[$Product cost per unit,$],[,],[$Finished goods inventory reported on balance sheet,$]]$