Convex Mechanical Supplies produces a product with the following costs as of July 1, 20X1:

material $6

labor $4

overhead $3

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Beginning inventory at these costs on July 1 was 9,700 units. From July 1 to December 1, Convex produced 23,000 units. These units had a material cost of $10 per unit.The costs for labor and overhead were the same. Convex uses FIFO inventory accounting.

a.Assuming that Convex sold 25,000 units during the last six months of the year at $20 each, what would gross profit be?

b.What is the value of ending inventory?