P11.8 (Absorption and Variable Costing) Clear Auto Glass sold 3,500 windshields in 2011 and produced a total of 4,000 windshields. Total costs incurred for the year included the following: Direct materials $450,000 Direct labour 300,000 Variable manufacturing overhead 150,000 Variable selling expenses 175,000 Fixed administrative expenses 200,000 Fixed manufacturing overhead 350,000 In January 2011, the beginning inventory of windshields was zero