A business operated at $100\%$ of capacity during its first month and incurred the following costs:

A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (10,000 units): Direct materials Direct labor Variable factory overhead Fixed factory overhead Operating expenses: Variable operating expenses Fixed operating expenses $170,000 360,000 190,000 50,000 $60,000 18,000 $770,000 78,000 If 500 units remain unsold at the end of the month, the amount of inventory that would be reported on the variable costing balance sheet is a. b. (7 c. d. $36,000 S41,500 $38,500 $42,800