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A business operates at 100% of capacity during its first month and incurs the following costs: Production costs (20,000 units): Direct materials $180,000 Direct labor

A business operates at 100% of capacity during its first month and incurs the following costs:

Production costs (20,000 units):
Direct materials$180,000
Direct labor240,000
Variable factory overhead280,000
Fixed factory overhead100,000$800,000
Operating expenses:
Variable operating expenses$130,000
Fixed operating expenses50,000180,000


If 1,600 units remain unsold at the end of the month, what is the amount of inventory that would be reported on the variable costing balance sheet?

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