Can you respong to this students discussion like hey great work at explaining etcc.. Bondware Inc has a highly automated assembly line that uses very littile direct labor. Therefore, direct labor is part of variable overhead. For March assume the following unit costs. Direct Materials......$450 Variable Overhead......250 Fixed Overhead......550 The 1200 units of beginning inventory for March had an absorption costing value of $1.5M and variable costing value of $840,000. For March, assume that Bondware produced 3,000 units and sold 3,500 units. Compute Bondwares March amount of ending inventory under both absorption and variable costing if the FIFO method was used. FIFO method means that the ending inventory is the value of the cost of the current month. So ending inventory units = beginning of the month + units produced - units sold = 1,200 + 3000 - 3500 = 700 units