Steele Corporation has the following information for January, February, and March:

January

February

March

Units produced

10,000

10,000

10,000

Units sold

7,000

8,500

10,500

Production costs per unit (based on 10,000 units) are as follows:

Direct materials

$12

Direct labor

8

Variable factory overhead

6

Fixed factory overhead

4

Variable selling and admin. expenses

10

Fixed selling and admin. expenses

4

There were no beginning inventories for January, and all units were sold for $50. Costs are stable over the three months.

What is the March ending inventory for Steele Corporation using the variable costing method?