Purcell Products has budgeted the following at the beginning of the previous year.

Direct materials per unit	$30.00
Direct manufacturing labor	$50.00
Variable manufacturing overhead per unit	$60.00
Fixed manufacturing cost per unit produced	$60.00
Total inventoriable cost per unit produced	$200.00

Out of 2,000 units produced in the previous year, only 1,700 units were sold at a price of $280.

Which of the following statements is true for Purcell Products?

A. Profits will be lower under absorption costing by $18,000 as compared to profits under variable costing.

B. Profits will be higher under absorption costing by $36,000 as compared to profits under variable costing.

C. Profits will be higher under absorption costing by $18,000 as compared to profits under variable costing.

D. Profits will be higher under absorption costing by $36,000 as compared to profits under variable costing.