A business operated at 100% of capacity during its first month, with the following results: Sales (102 units) $408,000 Production costs (127 units): Direct materials Direct labor Variable factory overhead Fixed factory overhead Operating expenses: Variable operating expenses Fixed operating expenses $54,915 14,021 24,536 23,368 $6,490 3,827 $116,840 10,317 The amount of gross profit that would be reported on the absorption costing income statement is O a. $307,670 Ob. $407,873 O c. $314,160 Od. $303,843

A business operated at 100% of capacity during its first month, with the following results: The amount of gross profit that would be reported on the absorption costing income statement is a. $307,670 b. $407,873 c. $314,160 d. $303,843