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

Selling price	$	155
Units in beginning inventory		0
Units produced		2,100
Units sold		1,830
Units in ending inventory		270

Variable costs per unit:
Direct materials	$	53
Direct labor	$	31
Variable manufacturing overhead	$	7
Variable selling and administrative expense	$	8
Fixed costs:
Fixed manufacturing overhead	$	42,000
Fixed selling and administrative expense	$	18,300

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

rev: 02_26_2020_QC_CS-202455

Multiple Choice

• $60,300

• $80,520

• $65,880

• $128,100