Harris Corp., which began business at the start of the current year, had the following data:

• Planned and actual production: 20,000 units
• Sales: 17,000 units at $15 per unit
• Production costs:
• Variable: $4 per unit
• Fixed: $130,000
• Selling and administrative costs:
• Variable: $1 per unit
• Fixed: $32,000

The income that the company would disclose under Absorption-costing is :

a.

23000$

b.

24500$

c.

27500$

d.

27250$