A manufacturing company that produces a single product has provided the following data concerning its most recent month of operations:

Selling price	$	140
Units in beginning inventory		0
Units produced		3,150
Units sold		2,760
Units in ending inventory		390
Variable costs per unit:
Direct materials	$	47
Direct labor	$	18
Variable manufacturing overhead	$	10
Variable selling and administrative expense	$	19
Fixed costs:
Fixed manufacturing overhead	$	107,100
Fixed selling and administrative expense	$	24,840

The total gross margin for the month under absorption costing is:

Multiple Choice

• $85,560

• $116,160

• $126,960

• $8,280