Cutterski Corporation manufactures a propeller. Shown below is Cutterski's cost structure: Variable cost per propeller Total fixed cost for the year Manufacturing cost $123 $1,166,400 Selling and administrative expense $32 $619,500 In its first year of operations, Cutterski produced 86,400 propellers but only sold 82,600. What would Cutterski report as its cost of goods sold under absorption costing?

$12,156,500

$14,537,600

$11,274,900

$10,159,800