Ajax Manufacturing has the following cost structure: Direct material $10

Direct labor 20

Variable manufacturing overhead 5

Total variable manufacturing costs per unit $35

Fixed manufacturing overhead per year $100,000

Fixed selling and administrative expense per year $200,000

6. Assume that Ajax produces 10,000 items and sells 8,000 items.

In this case, the full costing value of endinginventory is: a. $70,000. b. $90,000.

The answer is b but I am kinda lost of how they got there. I just need the steps to start with please

7. Assume that Ajax produces 10,000 items and sells 8,000 items.

In this case, the full costing value of cost of goods sold is: a. $360,

000.b. $350,000.c. $300,000.d. $280,00

Again i am not sure how they got there. I think i get confused of when COGS and ending inventory are mentioned back to back questions. Thank you.