Barnes Company reports the following for its product for its first year of operations.

Direct materials

Direct labor

$$34$ per unit

Variable overhead

Fixed overhead

$$24$ per unit

$$12$ per unit

Variable selling and administrative expenses

$$54,000$ per year

Fixed selling and administrative expenses

$$2$ per unit

$$26,000$ per year

Exercise $19-5($Algo$)$ Computing gross profit at different production levels LO P$2$

The company sells its product for $$140$ per unit. Compute gross profit using absorption costing assuming the company $($a$)$ produces and sells $3,000$ units and $($b$)$ produces $3,600$ units and sells $3,000$ units.

$\backslash$table$[[$Gross profit using absorption costing,$\backslash$table$[[($a$)3,000$ Units Produced$],[$and $3,000$ Units Sold$]],($b$)3,600$ Units Produced$],[$and $3,000$ Units Sold,,$]]$