Suppose Kitchen Professional manufactures cast iron skillets. One model is a 10-inch skillet that sells for $35. Kitchen Professional projects sales of 725 10-inch skillets per month. The production costs are $8 per skillet for direct materials, $3 per skillet for direct labor, and $5 per skillet for manufacturing overhead. Kitchen Professional has 35 10-inch skillets in inventory at the beginning of July but wants to have an ending inventory equal to 25% of the next month's sales. Selling and administrative expenses for this product line are $1,400 per month. Kitchen Professional has budgeted cost of goods sold of $11,600 for July Compute the budgeted gross profit for July A. $13,775 B. $18,885 C. $12,550 D. $20,110