Gabuat Corporation, which has only one product, has provided the following data concerning its most recent month of operations:

Selling price	$	138
Units in beginning inventory		0
Units produced		3,300
Units sold		2,810
Units in ending inventory		490

Variable costs per unit:
Direct materials	$	40
Direct labor	$	31
Variable manufacturing overhead	$	6
Variable selling and administrative expense	$	7
Fixed costs:
Fixed manufacturing overhead	$	62,700
Fixed selling and administrative expense	$	16,860

The total gross margin for the month under the absorption costing approach is:

Multiple Choice

$79,560

$118,020

$98,350

$199,510