Cutterski Corporation manufactures a propeller. Shown below is Cutterski's cost structure:

	Variable cost per propeller	Total fixed cost for the year
Manufacturing cost	$137	$893,000
Selling and administrative expense	$ 24	$286,300

In its first year of operations, Cutterski produced 94,000 propellers but only sold 81,800. What is the total cost that would be assigned to Cutterski's finished goods inventory at the end of the first year of operations under variable costing?

$1,671,400

$1,787,300

$2,122,800

$1,964,200