A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (17,100 units): Direct materials $171,800 Direct labor 227,100 Variable factory overhead 261,500 Fixed factory overhead 91,800 $752,200 Operating expenses: Variable operating expenses $128,900 Fixed operating expenses 43,000 171,900 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 a. $108,082 b. $87,977 c. $92,316 d. $77,240