Carr Company produces a single product. Last year, Carr manufactured 27,540 units and sold 22,200 units. Production costs for the year were as follows:

Fixed manufacturing overhead	$302,940
Variable manufacturing overhead	$239,598
Direct labor	$121,176
Direct materials	$214,812

Sales were $1,098,900, for the year, variable selling and administrative expenses were $115,440, and fixed selling and administrative expenses were $176,256. There was no beginning inventory. Assume that direct labor is a variable cost.

Under absorption costing, the ending inventory for the year would be valued at: (Do not round intermediate calculations.)

$170,346

$231,846

$240,346

$197,846