In the first year of business, Friendly Company paid $32,000 for direct materials and 542,000 for production workers' wages. Lease payments and utilities on the production facilities amounted to $25,000 while general, selling and administrative expenses totaled $10,000. The company produced 4,000 units and sold 3,000 units at a selling price of $35.00 a unit, What is Friendly's cost of goods sold for the year? A $74.250 B $109,000 C $55,500 D $81.750