Freetown Corporation incurred fixed manufacturing costs of $30,000 during 2020. Other information for 2020 includes:

The budgeted denominator level is 2,600 units.

Units produced total 1,600 units.

Units sold total 1,400 units.

Beginning inventory was zero.

The company uses absorption costing and the fixed manufacturing cost rate is based on the budgeted denominator level. Manufacturing variances are closed to cost of goods sold.

Fixed manufacturing costs expensed on the income statement (excluding adjustments for variances) total

(Round any intermediary calculations to the nearest cent and

your final answer to the nearest dollar.)

O A. $26,250

O B. $16,156

O C. $30,000

O D. $0