Krepps Corporation produces a single product. Last year, Krepps manufactured 30,420 units and sold 24,900 units. Production costs for the year were as follows:

Direct materials	$234,234
Direct labor	$142,974
Variable manufacturing overhead	$258,570
Fixed manufacturing overhead	$395,460

Sales totaled $1,207,650 for the year, variable selling and administrative expenses totaled $136,950, and fixed selling and administrative expenses totaled $185,562. There was no beginning inventory. Assume that direct labor is a variable cost.

Under absorption costing, the ending inventory for the year would be valued at:

Multiple Choice

• $214,628

• $248,628

• $257,128

• $187,128