Hurlex Company produces a single product. last yar,Hurlex manufactured 15,000 units and sold 12,000 units. Production costs for the yar were as follows:

Directmaterials.....................................$150,000

Direct labor..........................................$180,000

Variable manufacturing overhead...........$135,000

Fixed manufacturing overhead................$210,000

Sales totaled $840,000 for the year, variable sellingexpenses totaled $60,000, and fixed selling andadministrative expenses totaled $180,000. There were no unitsin the beginning inventory. Assume that direct labor is avarialbe cost.

Under absorption costing, the carrying value on the balancesheet of the ending inventory for the year would be:

a) $135,000

b) $93,000

c)$105,000

d) $0