Inventory Valuation under Absorption Costing

Amiens Company produced 20,000 units during its first year of operations and sold 18,900 at $17 per unit. The company chose practical activityat 20,000 unitsto compute its predetermined overhead rate. Manufacturing costs are as follows:

Direct materials	$ 80,000
Direct labor	101,400
Variable overhead	15,600
Fixed overhead	54,600

Required:

1. Calculate the unit cost for each of these four costs. Round your answers to the nearest cent.

Direct Materials Cost $

Direct Labor Cost $

Variable Overhead Cost $

Fixed Overhead Cost $

2. Calculate the cost of one unit of product under absorption costing. Round your answer to the nearest cent.

$

3. How many units are in ending inventory?

$

4. Calculate the cost of ending inventory under absorption costing.

$