A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (17,500 units): Direct materials Direct labor Variable factory overhead Fixed factory overhead $181,300 234,800 261,000 96,000 $773,100 Operating expenses: Variable operating expenses $128,500 Fixed operating expenses 41,700 170,200 If 2,000 units remain unsold at the end of the month, the amount of inventory that would be reported on the variable costing balance sheet is Oa. $107,806 Ob. $38.354 Oc. 592.069 Od. 577,380